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The Ultimate Guide on How to Start a Brokerage Business

October 17, 2019 by BPM Team

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Team of stockbrokers works in indoors with many display screens

Have you ever wondered how brokerage firms are started?

Brokerage companies have played an important role in the economy for decades because they’ve allowed businesses to earn a lot of money. With a brokerage firm, investors can buy and sell stocks, exchange currencies, and invest in mutual funds.

Unlike most businesses, brokerage firms don’t require you to sell a product to find success. Providing that you are properly equipped, you’ll be able to earn income from commission thanks to your platform. This means that you need a certain amount of money before you can operate. If you need cash to get this done, it may be time to find out how title loans work .

Read on to learn more about how to start a brokerage business. 

What Is a Brokerage Firm?

A  brokerage company  is where people go to buy and sell stocks. They act as the middleman between buyers and sellers, providing a universal platform where people can trade.

Brokerage companies typically earn compensation by charging a commission on transactions. For example, a transaction fee is charged whenever an investor buys a stock. This allows brokerage companies to continue operating while making investing convenient.

In the past, brokerage firms were only accessible by visiting the physical location. Today, almost all transactions take place via the internet through websites and applications. This makes trading more efficient, especially for those that day trade. Do you know the minimum deposit needed to start trading? Check fpmarkets minimum deposit for more info.

Creating a Plan

To start a brokerage firm, you’ll need to create a plan and stick with it. This guide will help you come up with a plan, but there are several things you need to consider before starting one.

One of the most important things is that you’ll need to save money beforehand so that you have enough to invest. Starting a brokerage firm will require you to get licenses and a facility before you can operate.

Office Space

You’ll need to look into real estate of the location that you’d like to have your office at. A startup brokerage firm will not require a large facility. Providing that you have an office large enough for several employees, you’ll be able to operate when you start.

Earning Income

Aside from thinking about where you’d like to go, you must decide who your target audience is. While all brokerage firms are for trading, some firms are better than others in certain areas.

If you’re someone that wants to create a firm for  day traders , you’ll need to think about how you’ll attract new day traders and earn income. Day trading consists of buying and selling several times within a day. This can cost new traders a lot because of the commission fees, pushing them away from your firm.

You can offer flat rates for your service or various options for traders of all backgrounds. There are already numerous well-established brokerage firms, so you’ll need to please a wider audience.

B2Broker offers a variety of options for launching a brokerage with expert guidance and experience to help you every step of the way.

Establishing Your Firm

When you’ve purchased an office to operate out of and have decided how you’ll earn income, the next step is to establish your firm. One of the things that many people ask when wondering how to start a brokerage firm is how to get their name out in the public.

What you’ll need to do is reserve a name with the Financial Industry Regulatory Authority (FINRA). FINRA is responsible for regulating brokerage firms and exchange markets.

You’ll then have to get an accounting system that meets their requirements. Depending on how large your firm will be, you must meet a net capital requirement. This means that you need a certain amount of money before you can operate.

Getting Licensed

FINRA requires that brokerage firms have two managers for the firm. To get registered, you have to complete a background check and the firm must follow several security regulations.

“A FINRA Rule 3110(e) background check will investigate and verify the applicant’s good character, business reputation, financial background, and qualifications,” according to Tsion Chudnovsky , a professional license attorney at Chudnovsky Law. “FINRA utilizes fingerprint screening to verify criminal records. Some of the information about applicants will become publicly available through the FINRA BrokerCheck system.”

If you’re starting a small brokerage firm, you can apply to operate with a single registered manager. To do this, you’ll have to fill out a waiver request that can be found on  FINRA’s website .

How to Be a Stockbroker

Becoming a stockbroker typically requires individuals to get a bachelor’s degree. The reason for this being that FINRA requires everyone within a firm to follow the same regulations in terms of understanding the market, no matter the position.

It’s common for those that are becoming stockbrokers to complete internships. This ensures that they’re aware of how brokerage firms operate, making it easier for them to get a stock broker’s license.

Stockbroker requirements typically consist of having a degree in finance or business, experience in the field, and passing tests relating to the market.

Stockbrokers are responsible for trading stocks for clients. They’re important when it comes to things like mutual funds because mutual funds are bought by investors that don’t want to manage their stocks.

The main goal of a stockbroker, in the case of mutual funds, is to buy and sell stocks in areas where they’ll earn their client’s money. They usually have a general return rate, giving clients a good idea of how much money they can expect to earn.

Start a Brokerage Business Today

If you’re interested in trading, you can make a living out of it by starting a brokerage business. Brokerage firms will allow you to earn passive income from traders as they buy and sell investments.

Learning how to start a brokerage firm is as simple as creating a plan, getting licensed, and following FINRA’s requirements. Providing that you have enough money to start, you can quickly open a brokerage firm and start earning money.

Browse our blog to receive more business advice to help you make smart investments.

You may also like: A Guide For Investment Methods

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Real Estate | How To

How to Write a Real Estate Business Plan (+ Free Template)

Published June 30, 2023

Published Jun 30, 2023

Gina Baker

REVIEWED BY: Gina Baker

Jealie Dacanay

WRITTEN BY: Jealie Dacanay

This article is part of a larger series on How to Become a Real Estate Agent .

  • 1 Write Your Mission Statement
  • 2 Conduct a SWOT Analysis
  • 3 Set Specific & Measurable Goals
  • 4 Plan Your Marketing Strategies & Tactics
  • 5 Create a Lead Generation & Nurturing Strategy
  • 6 Calculate Your Income Goal
  • 7 Set Times to Revisit Your Business Plan
  • 8 Why Agents Need a Real Estate Business Plan
  • 9 Real Estate Business Plan Examples & Templates
  • 10 Bottom Line
  • 11 Frequently Asked Questions (FAQs)

A real estate business plan lays the groundwork and provides direction on income targets, marketing tactics, goal setting, lead generation, and an overview of your industry’s competition. It describes your company’s mission statement in detail and assesses your SWOT (strengths, weaknesses, opportunities, and threats) as an organization. Business plans should include measurable goals and financial projections that you can review periodically throughout the year to ensure you meet your goals.

Continue reading to see real estate business plan examples and discover how to write a real estate business plan. Start by making your own by downloading and using the free real estate business plan template we’ve provided below.

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Real Estate Business Plan Template

Real estate business plan template.

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💡Quick tip:

Market Leader provides a comprehensive paid inbound lead, automated marketing, and CRM solution to help agents acquire, engage, and nurture real estate leads.

Furthermore, Market Leader offers and guarantees you a number of exclusive seller and buyer leads in your target niche at a monthly rate.

1. Write Your Mission Statement

Every real estate agent’s business plan should begin with a mission statement, identifying your values and why your business exists. Your mission statement serves as the guide to achieving your ultimate business objective. When you create a solid clear mission statement, all other items identified in your realtor business plan should be aimed at fulfilling this statement.

A screenshot of Compass' website.

Compass’ mission statement: “Our mission is to help everyone find their place in the world.” (Source: Compass )

Your mission statement should identify your target audience, what product or service you provide, and what makes your business distinct. As seen in the example above, a powerful mission statement should be short and concise but sums up a business objective.

Let’s take Compass’ mission statement above as an example: “Our mission is to help everyone find their place in the world.” The statement identifies what the company offers, for what reasons, and who it benefits.

2. Conduct a SWOT Analysis

SWOT is an acronym that stands for a business’ strengths, weaknesses, opportunities, and threats. The primary objective of these four elements is to assess a business by evaluating internal and external factors that can drive decision-making and help you make more money . Conducting a SWOT analysis as you develop your business plan for real estate uncovers opportunities to differentiate yourself from the massive competition currently on the market.

Strengths & Weaknesses

Strengths and weaknesses are internal parts of your organization. Strengths identify what product or services you provide better than others, your access to resources, and items that benefit your customers. Weaknesses are items that need improvement, lack of resources, or what your competition does better. These are items within your control to change because you can convert a weakness into a strength.

See the example below if “Agent X” was doing their SWOT analysis:

Opportunities & Threats

External factors drive opportunities and threats and are areas you can take advantage of to benefit your business. Examples of opportunities can be shifts in the current marketplace, emerging trends you can capitalize on, features that competitors lack, or even changes with your competitors. Threats, on the other hand, are anything that can negatively impact your business. You don’t have control over changing the opportunities or threats, but you can develop a practice to anticipate and protect your business against the threats.

The opportunities and threats for “Agent X” would be:

When you complete your SWOT analysis, use it as a guide when creating strategies to meet your business objectives. To gain the most benefit from creating a SWOT analysis, make sure you are being realistic about your business and evaluating it in its present state. You don’t want to be unrealistic by listing strengths or opportunities that don’t exist yet, and you want to allocate time and money to the most impactful solution to your business issues.

If “Agent X” completed the above SWOT analysis, a few strategies they could derive would be:

  • Incentivize agents to keep them at the brokerage for longer
  • Implement a technology-based key machine to reduce lost keys and keep the team accountable
  • Find a competitive advantage against competing brokerages and use that in marketing messages

Example of Zillow Premier Agent Agent Finder advertising for three featured agents.

Zillow agent finder (Source: Zillow )

To help agents locate other brokerages operating in your preferred market, agents can use Zillow’s agent finder page as a research tool to see which agents or brokerages are operating in a specific area. You can find an agent by location, name, specialty, and language. Once you click on a Zillow profile , you can read their reviews, see their team members, contact and website information, and property listings. Take a deep dive into your competitor profiles and can use the information to implement strategies within your own business.

Visit Zillow

Read how our experts feel about this real estate lead generation company in our Zillow Premier Agent review .

3. Set Specific & Measurable Goals

You’re ready to set some business goals after clearly defining your mission statement and SWOT analysis. Goals can help set the tone to increase your performance and drive your business in the right direction. Your goals should have a definitive way to show progress, which can be a prime motivator to keep you on track to achieving them.

Each goal should follow a pattern to identify set criteria. This will ensure that your daily efforts are performed to meet business objectives within a set period. A way to do this is by using SMART goals:

Examples of SMART goals for agents or brokerages:

  • Increase closed transactions by 20% to a total of 150 deals within the next year
  • I will ask all closed clients for a referral and review within 30 days of closing the deal

Goals can be split into short-term and long-term goals. Short-term goal lengths vary between days and weeks but do not exceed six months. Short-term goals can also be worked on simultaneously with long-term goals. Long-term goals can take up to six months or more to complete and require careful planning and perseverance. A mix of short-term and long-term goals will help you maintain motivation.

All goals are equally important; however, success will stem from how you prioritize each one. Slowly add on additional goals as you have the capacity and feel comfortable with the current progress of your current set of goals. Without identifying your business goals, you’ll leave your results up to luck to attain your business objectives.

4. Plan Your Marketing Strategies & Tactics

Developing marketing strategies and tactics and implementing them help you identify and locate your current value proposition in the real estate industry, along with specific timelines for execution. In addition to determining your overall business objectives and goals, your marketing strategy and plan should include the following:

  • Pinpoint general marketing goals
  • Estimate projected marketing budget
  • Know your geographic farm area data and identify your target niche audience
  • Analyze market competition
  • Identify your unique selling proposition
  • Establish a timeline and set your plan in motion
  • Track your progress and readjust as needed

While a marketing strategy identifies the overall marketing goals of your business, developing marketing tactics will help you achieve those individual goals. They can include referral business tactics, retention efforts, and ways to acquire new customers. For example, you can offer incentives to anyone who refers your business, or you can implement new email drip campaigns to help increase lead conversion rates.

These tactics should have set key performance indicators (KPIs) to help you evaluate your performance. For instance, a KPI you can set for your business could be that referral business should exceed 20% of your lead generation sources.

If you’re unsure how to put together your marketing plan, check out our article Real Estate Marketing Plan Template & Strategy Guide and download the free template to get started.

Postcard campaign examples from ProspectsPLUS!.

Postcard campaign example (Source: ProspectsPLUS! )

If direct mail is part of your promotion strategy, services like ProspectsPLUS! can help easily create and distribute mailers to a targeted area. It also has options for postcards , brochures, newsletters , flyers, and folders. You can also send mailers to prospective clients by geographic or demographic farm areas through its campaigns. Check out its templates and mailing options today.

Visit ProspectsPLUS!

Read how our experts feel about this real estate direct mail service in our ProspectsPLUS! review .

5. Create a Lead Generation & Nurturing Strategy

Having a successful lead generation strategy will help you maintain business growth. Lead generation can be performed organically and through paid advertisements to attract and convert prospective clients. In addition to generating leads, agents should have systems to manage, nurture, and re-engage with contacts to maximize opportunities.

Generating leads through a multipronged approach is the best way to maintain lead flow. Use organic strategies like hosting an open house, reaching out to your sphere of influence, and attending networking events. Employ paid generation strategies, such as purchasing leads from a lead generation company or setting up a website to funnel potential clients. Your marketing strategies will directly correlate with your lead generation strategies.

Every lead is an opportunity, even if they don’t immediately convert into a deal. Effectively nurturing leads can make sure no opportunity falls through the cracks. Agents can nurture leads by continuously engaging and developing relationships with prospective leads . It’s important to provide prospective clients with a constant flow of essential and relevant information, depending on where they are in the real estate buying or selling process.

Here are the top lead generation companies for real estate agents and brokers:

Engage more efficiently with buyer and seller leads using Market Leader’s new feature Network Boost. Network Boost has shown a 40% increase in agents successfully connecting with leads. Market Leader social media experts design highly targeted and optimized ads for your Instagram and Facebook. As visitors engage with your ads, they will be prompted to complete a form and funnel directly into your Market Leader client relationship manager (CRM). This will also trigger an automatic marketing campaign that nurtures your clients and lets you know they are ready to engage with you personally. Try Market Leader’s Network Boost today.

6. Calculate Your Income Goal

Your income goal is one of the most critical items to be included in your business plan. While this may be more difficult for new agents who are still learning the business, it’s still necessary to estimate the amount of money you will earn for the year. Work with an experienced agent or mentor to help you estimate your monetary goals. For professional agents, review your previous years to judge your income goals for the upcoming year.

To calculate your income goal and the amount of work you’ll need to complete to get to that goal, you’ll need to have some basic number estimates:

  • Net income: The amount of money you will put in your pocket after commission splits with your real estate brokerage.
  • Fee split with brokerage: This is the agreed-upon commission split you have with your brokerage for each completed transaction. For example, if you have a 70/30 split with your brokerage, you will collect 70% of the commission, and your brokerage will receive a 30% commission for each deal.
  • Estimate of completed deals per year: You also want to estimate the number of deals you intend to complete yearly. Remember that some months will be busier than others, so make sure to account for holidays, weather, and your schedule.

Real Estate Yearly Goal Calculator

By figuring out these numbers, you can give yourself a realistic number for your income goal. Compute the gross income commission (GCI) or amount of money you must make before the commission splits and the average profit per deal and month you’ll need to reach your goal.

For a more detailed breakdown of your yearly goal, download and use our yearly goal calculator. Input your information into the highlighted yellow boxes, and the spreadsheet will automatically calculate the GCI, total deal count, and gross income you’ll have to earn each month to reach your goal. Adjust the average gross commission per deal and brokerage split as necessary.

FitSmallBusiness Year Goal Calculator

FitSmallBusiness Year Goal Calculato template.

For additional information on real estate agent salaries, review our article Real Estate Agent Salary: How Much Do Real Estate Agents Make?

7. Set Times to Revisit Your Business Plan

Business plans are only effective if you use them. A business plan is a roadmap for your business, and you’ll need to revisit it often to ensure you’re staying on track. It should be a constant resource to guide you through meeting your goals and business objectives, but it’s not necessarily set in stone if you need to make any changes.

Agents should revisit their business plans monthly to measure progress and make any changes to stay the course. If you find that you’re missing the times set for your goals, then you should continue to revisit your business plan regularly. Changing the business plan itself should occur annually once you can have a complete picture of your yearly performance. Evaluating the business plan can help you discover new strategies and ensure you have the appropriate resources for the upcoming year.

Pipedrive user dashboard

Overall status of sales activities in the dashboard (Source: Pipedrive )

Sales software like Pipedrive can help you track your overall business performance when revisiting your business plan. It presents company sales data in easy-to-visualize dashboards that track your business performance and contains forecasting tools to project future revenue. It can maintain company and team goals with progress tracking to keep goals top of mind.

Visit Pipedrive

Read how our experts feel about this real estate customer relationship manager (CRM) system in our Pipedrive review .

Why Agents Need a Real Estate Business Plan

A real estate business plan keeps you up to date on market developments and one step ahead of your competitors. It also enables you to test lead-generating tactics and create new marketing campaigns while keeping track of results over time. A solid business plan for a real estate agent presents the following:

  • Where you are at the moment
  • Where you would like to be
  • How you’re going to get there
  • How to evaluate and measure your performance
  • When and when to correct the course

Real Estate Business Plan Examples & Templates

Real estate agents and brokerages don’t have to build their business plans from scratch, as many resources provide different examples. Business plan templates can also have different objectives. Some are used to secure financing or help you focus on lead generation, while others are single-page plans meant to get you started.

Here are five real estate business plan examples you can use to create yours:

Lead Generation & Income Plan

Screenshot of Market Leader real estate business plan.

Market Leader business plan example (Source: Market Leader )

This business plan is from Market Leader, a third-party lead generation platform. It specializes in lead generation, marketing, and converting leads into customers with an attractive IDX (Internet Data Exchange) website and robust automation tools. Agents can also participate in purchasing leads through their lead products to receive a guaranteed number of leads per month.

A Single-page Business Plan

Single Page Business Plan example from pngfind.

Business plan for real estate (Source: PngFind )

Agents who are new to writing a business plan can start small. Business plans do not have to be multipage to be effective. This single-page business plan helps identify a single goal followed by three areas to focus on and five objectives for each focus area. As real estate agents begin to feel comfortable with goal setting and completion, they can continue to add to this single-page business plan with duplicate pages, identifying additional goals.

Business Plan for Real Estate Brokers

Screenshot of Real estate broker business plan example from AgentEDU.

Real estate broker business plan (Source: AgentEDU )

This robust real estate broker business plan is designed to address organization and management goals. It contains pages identifying personnel information like title, job description, and salary. The business plan also encourages the broker to identify operational goals for future personnel changes. It’s best suited for a broker with a larger team to help drive operational change.

Business Plan With Detailed Financials

Business plan with detailed company financial information.

Example of real estate agent business plan template (Source: FinModelsLab )

This multipage business plan contains eye-catching graphics and detailed company financial information for real estate agents and brokers seeking funding from outside investors. One of the last sections of the business plan is a financial planning section geared toward showing how viable your business is through your provided income statements, cash flow, and balance sheet reports.

Real Estate Developers’ Business Plan

Easy to edit real estate business plan template from Upmetrics.

Realtor business plan template sample (Source: Upmetrics )

Upmetrics’ real estate business plan templates are easy to edit and share and contain professional cover pages to help agents convert their business ideas into actionable goals. The business plans from Upmetrics are geared toward agents looking to transition into real estate development. This plan includes vital sections important for a developer to analyze, such as building location, demand for housing, and pricing.

Market Leader's CRM dashboard as viewed on tablet and phone devices.

Real estate CRM (Source: Market Leader )

Market Leader’s business plan is centered around driving more business through lead generation. It helps agents understand their lead sources, average sales price, and how much commission was earned in a given year. It also allows agents to set income and transactional goals for the following year.

Visit Market Leader

Bottom Line

Whether you are a new real estate agent or looking to grow your brokerage, writing a real estate business plan template will help you define the steps needed to build a successful business . It serves as a guided roadmap to help you achieve your business goals, identify areas of improvement, and provide guidance in all aspects of your business, from marketing, operations, and finance to your products and services. Business plans can help determine if your business is viable and worth the financial investment.

Frequently Asked Questions (FAQs)

What is a real estate business plan.

A real estate business plan is a document that presents an outline of your organizational goals. A business plan lays out future company goals and structured procedures to achieve them. Business plans commonly contain plans for one to five years at a time, though they can differ from investor to investor.

A real estate business plan will put you in a position to succeed while also assisting you in avoiding potential pitfalls. It serves as a guide to follow when things go as expected and when they diverge from the initial plan of action. Also, a real estate business plan will ensure that investors know the steps they need to take to succeed.

How do I jump-start my real estate business?

It is important to note that starting a real estate business is not a simple task. Before launching a firm in any field, entrepreneurs should spend numerous hours researching and developing a solid business plan. As you start your real estate business, use the following tips as guidance:

  • Think about your professional goals
  • Conduct extensive research
  • Organize your finances
  • Create a business plan
  • Establish an LLC
  • Make a marketing plan
  • Create a website
  • Start campaigns
  • Keep track of leads
  • Develop a network of connections

How can I grow my real estate business?

You can use multiple strategies and ways to grow your real estate business. They include:

  • Assess your current situation
  • Invest in your professional growth
  • Establish strategic alliances
  • Take advantage of omnichannel marketing
  • Start blogging
  • Create consistent social media profiles and campaigns
  • Improve your website
  • Consider working with a marketing company
  • Optimize your signs and direct mail

About the Author

Jealie Dacanay

Find Jealie On LinkedIn

Jealie Dacanay

Jealie is a staff writer expert focusing on real estate education, lead generation, marketing, and investing. She has always seen writing as an opportunity to apply her knowledge and express her ideas. Over the years and through her internship at a real estate developer in the Philippines, Camella, she developed and discovered essential skills for producing high-quality online content.

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The Leading Source of Insights On Business Model Strategy & Tech Business Models

brokerage-business

The Brokerage Business Model In A Nutshell

Businesses employing the brokerage business model make money via brokerage services. This means they are involved with the facilitation, negotiation, or arbitration of a transaction between a buyer and a seller. The brokerage business model involves a business connecting buyers with sellers to collect a commission on the resultant transaction. Therefore, acting as a middleman within a transaction.

Table of Contents

Understanding the brokerage business model

Brokerage businesses usually charge a commission or fee to one or both parties in exchange for services rendered.

Many such companies have also adopted a zero-commission policy, instead of making money from investments and the difference in price between what they charge buyers and what they charge sellers.

Advances in eCommerce have allowed the brokerage business model to thrive since virtually any product or service can now be ordered online.

Brokerage businesses are common in the real estate, finance, retail, travel, and online marketplace industries, to name a few. 

Seven types of brokerage business model

In truth, there are many brokerage business model types across B2B and B2C businesses – although some types are more suited to one or the other.

b2b-vs-b2c

With that said, we have taken the liberty to list seven of the most common below:

  • Buy/sell match model

Where brokers concentrate on the fulfillment of buy/sell transactions.

This model is routinely used by financial brokers, insurance brokers, travel agents, and brick-and-mortar businesses with an online presence.

retail-business-model

  • Buyer-aggregator model

Here, brokers bring together a group of buyers who share the common goal of receiving discounts on goods and services.

Merchants pay the broker a small percentage for each sale, which is often percentage-based.

  • Classified-advertiser model

These brokers charge a fee to an advertiser based on the time, location, size, or nature of an advertisement.

They may also offer search and rating services.

For example, the online classified platform Craigslist charges users for brokering sales of apartments, commercial real estate, cars, trucks, and furniture.

how-does-craigslist-make-money

  • Virtual mall model

In this case, the broker creates a website and rents out virtual space to online retailers.

The broker may also offer advertising, marketing , search facilities, and business advice.

Online marketplaces such as Amazon and eBay are the most obvious examples.

marketplace-business-models

  • Virtual mall intermediary model

A more bespoke version of the virtual mall model, where the broker locates multiple product suppliers and sells their products in a single online store sorted by department.

The broker also acts as an intermediary by taking care of billing, shipping, order tracking, and credit card authorization.

Brokers charge product suppliers a fee for setting up and maintaining their storefronts.

Chinese B2C platform Tmall is one example of a virtual mall intermediary broker.

  • Auction and reverse auction model

An auction broker offers goods and services from multiple resellers and receives a fee for every successful sale.

In a reverse auction, buyers name their price and the broker secures a seller who can facilitate a sale.

  • Directory and evaluator model

These brokers offer a directory listing for goods and services, evaluate relevant businesses, and offer value awards to companies based on consumer feedback.

Consumers themselves may also be rewarded with certain incentives for purchasing from broker recommendations.

For example, Nerdwallet is a consumer finance platform reviewing credit cards, bank accounts, personal loans, insurance, mortgages, and investment products. 

how-does-nerdwallet-make-money

Case studies

Example 1: job recruitment agencies.

Brokerage Mechanism: Recruitment agencies connect job seekers with companies looking to hire. They earn a commission either from the company once a candidate is placed or sometimes from the candidate’s first salary.

Example 2: Online Dating Platforms

Brokerage Mechanism: Platforms like Match.com or eHarmony connect individuals looking for romantic relationships. They might earn revenue through subscription fees or from premium features that enhance users’ chances of finding a match.

Example 3: Real Estate Rental Platforms

Brokerage Mechanism: Websites like Airbnb or Vrbo connect property owners with travelers looking for short-term rentals. The platforms earn a commission from each booking.

Example 4: Ticket Reselling Platforms

Brokerage Mechanism: Websites like StubHub or Ticketmaster Resale connect ticket sellers with buyers, charging a fee on each transaction.

Example 5: Peer-to-Peer Lending Platforms

Brokerage Mechanism: Platforms like Prosper or LendingClub connect individuals who want to lend money with those who want to borrow, earning a fee on each loan facilitated.

Example 6: Stock Photo Websites

Brokerage Mechanism: Websites like Shutterstock or Getty Images connect photographers with businesses or individuals looking to purchase stock photos. Photographers earn royalties, and the platform takes a commission.

Example 7: Online Art Marketplaces

Brokerage Mechanism: Platforms like Artfinder or Saatchi Art connect artists with art enthusiasts and collectors. Artists get a platform to showcase and sell their work, while the platform earns a commission on each sale.

Example 8: Freight Brokers

Brokerage Mechanism: These brokers connect shippers with transportation services. They negotiate rates with both parties and earn a fee for facilitating the shipment of goods.

Example 9: Business Brokers

Brokerage Mechanism: These brokers assist in the buying and selling of businesses. They help evaluate the value of a business, find buyers or sellers, and earn a commission once the business is sold.

Example 10: Insurance Brokers

Brokerage Mechanism: Insurance brokers help individuals or businesses find the best insurance policies for their needs. They earn a commission from insurance companies for each policy sold.

Key takeaways

  • The brokerage business model involves a business connecting buyers with sellers to collect a commission on the resultant transaction.
  • Advances in eCommerce have allowed the brokerage business model to thrive since virtually any product or service can now be ordered online. The model is common in the real estate, travel, finance, and retail industries. 
  • There are many brokerage business model types in the B2B and B2C space. Some of the more common include the buy/sell match model, buyer-aggregator model, classified-advertiser model, virtual mall model, auction and reverse auction model, and directory and evaluator model.

Key Highlights

  • The Brokerage Business Model: Businesses employing the brokerage business model generate revenue by facilitating, negotiating, or arbitrating transactions between buyers and sellers. Acting as intermediaries, brokerage companies connect buyers with sellers and earn a commission on the resulting transactions.
  • Commission-based Revenue: Brokerage businesses typically charge a commission or fee to one or both parties involved in the transaction in exchange for their services. Some brokerage companies have adopted a zero-commission policy and instead earn revenue from investments and price differences between buyers and sellers.
  • Thriving in eCommerce: With the advancement of eCommerce, the brokerage business model has flourished as virtually any product or service can be ordered online. Brokerage businesses are common in various industries, including real estate, finance, retail, travel, and online marketplaces.
  • Buy/Sell Match Model: Brokers focus on facilitating buy/sell transactions. This model is used by financial brokers, insurance brokers, travel agents, and brick-and-mortar businesses with an online presence.
  • Buyer-Aggregator Model: Brokers bring together a group of buyers seeking discounts on goods and services. Merchants pay a percentage-based fee for each sale.
  • Classified-Advertiser Model: Brokers charge advertisers based on advertisement attributes, such as time, location, size, or nature. Some may offer search and rating services.
  • Virtual Mall Model: Brokers create a website and rent virtual space to online retailers. They may provide advertising, marketing , search facilities, and business advice. Examples include Amazon and eBay.
  • Virtual Mall Intermediary Model: A bespoke version of the virtual mall model where the broker locates multiple product suppliers and sells their products in a single online store. The broker handles billing, shipping, order tracking, and credit card authorization, charging product suppliers for storefront setup and maintenance. Chinese B2C platform Tmall is an example.
  • Auction and Reverse Auction Model: An auction broker offers goods and services from multiple resellers and receives a fee for successful sales. In reverse auctions, buyers name their price, and the broker finds a seller to facilitate the sale.
  • Directory and Evaluator Model: Brokers offer directory listings for goods and services, evaluate businesses, and give value awards based on consumer feedback. Consumers may also be rewarded for purchasing from broker-recommended companies. Nerdwallet is an example in the consumer finance sector.

What are the types of brokerage business models?

The main types of brokerage business models comprise:

What's an example of Classified-advertiser model?

A great example is Craigslist , which charges users for brokering sales of apartments, commercial real estate, cars, trucks, and furniture. Craigslist is a local posting website that enables people to post classifieds on the platform, primarily for free, except for some categories of ads and vehicle advertising on the website. Therefore, craigslist monetizes based on some premium categories of listings (like job postings or apartment rentals).

What's an example of Virtual mall model?

Examples of virtual mall models comprise marketplaces  such as  Amazon  and  eBay , with various goods in many categories, convenient pricing, and many offerings throughout the year. They replicate a real-world mall in the digital world.

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Mortgage Broker Business Plan Template

Written by Dave Lavinsky

Mortgage Broker Business Plan

You’ve come to the right place to create your Mortgage Broker business plan.

We have helped over 10,000 entrepreneurs and business owners create business plans and many have used them to start or grow their Mortgage Broker companies.

Below is a template to help you create each section of your Mortgage Broker business plan.

Executive Summary

Business overview.

Davidson Mortgage, located in Tucson, Arizona, is a new mortgage brokerage specializing in residential mortgages. The company will operate in a professional setting, conveniently located next to several banks in the center of the shopping district. We offer a wide range of services to help our clients get a mortgage, including finding loan options, applying for the loans on the clients’ behalf, and completing all the paperwork. We strive to serve our clients with the utmost empathy to ensure they get the best mortgage for their situation.

Davidson Mortgage is headed by Harold Davidson. He is an MBA graduate from Arizona State University with 20 years of experience working in the finance industry. His passion is to help his clients qualify for their dream homes and provide them with a smooth process from start to finish.

Davidson Mortgage will focus on providing superior service to all of its clients to ensure they get the best mortgage possible. Our services include finding loan options, applying for loans on behalf of customers, and completing closing paperwork. Since customer service is our top priority, we will keep in touch with our clients after they have closed on the mortgage. Furthermore, Harold will create webinars, online courses, and other content to educate his clients and the local community on the mortgage lending process.

Customer Focus

Davidson Mortgage will primarily serve homebuyers interested in properties located in the Tucson, Arizona area. Tucson is a growing city with thousands of residents eager to purchase a new home. We expect our clientele to be equal parts first-time home buyers and existing homeowners.

Management Team

Davidson Mortgage is run by Harold Davidson. Harold has been a licensed mortgage broker for the past 20 years, working for several large firms. However, throughout his career, he desired to have a closer connection with his clients as well as have more flexibility to help them get their dream homes. He started this company in order to achieve those goals. In addition to his valuable experience, Harold also holds an MBA from Arizona State University.

Harold is joined by Bethany Peterson. She will serve as the company’s full-time assistant, who, among other things, will manage the company website, coordinate scheduling, and answer basic client questions. Bethany has experience working with C-level executives and has spent significant time as an administrator.

Success Factors

Davidson Mortgage is uniquely qualified to succeed due to the following reasons:

  • Davidson Mortgage will fill a specific market niche in the growing community we are entering. In addition, we have surveyed local realtors and homebuyers and received extremely positive feedback saying that they would consider making use of our services when launched.
  • Our location is in an economically vibrant area where new home sales are on the rise, and turnover in homes and rentals occurs often due to the upward mobility of residents.
  • The management team has a track record of success in the mortgage brokerage business.
  • The local area is currently underserved and has few independent mortgage brokers offering high customer service to homebuyers.

Financial Highlights

Davidson Mortgage is seeking a total funding of $250,000 of debt capital to open its office. The capital will be used for funding capital expenditures and location build-out, hiring initial employees, marketing expenses, and working capital.

Specifically, these funds will be used as follows:

  • Office design/build: $50,000
  • Three months of overhead expenses (payroll, rent, utilities): $100,00
  • Marketing expenses: $50,000
  • Working capital: $50,000

brokerage company business plan

Company Overview

Who is davidson mortgage, davidson mortgage history.

After surveying the local customer base and finding a potential office, Harold Davidson incorporated Davidson Mortgage as an S-Corporation on 1/1/2023.

The business is currently being run out of Harold’s home office, but once the lease on Davidson Mortgage’s office location is finalized, all operations will be run from there.

Since incorporation, Davidson Mortgage has achieved the following milestones:

  • Found office space and signed Letter of Intent to lease it
  • Developed the company’s name, logo, and website
  • Hired an interior designer for the decor and furniture layout
  • Determined equipment and fixture requirements

Davidson Mortgage Services

Industry analysis.

Despite the pandemic hurting several industries, the mortgage brokers industry still performed strong and is projected to continue to do so. Last year, U.S. mortgage brokerages brought in revenues of $11.7 billion and employed 47,000 people. There were just over 12,000 businesses in this market.

However, the mortgage broker industry is highly fragmented, with the top two companies accounting for just over 11% of industry revenue. Furthermore, mortgage interest rates are on the rise, as well as housing prices, preventing many people from buying houses and applying for mortgages. These two factors significantly stunt the industry at present.

Despite these challenges, the industry is still projected to increase moderately throughout the rest of the decade. Though larger firms may dominate revenue and clientele, studies and surveys show that clients don’t necessarily favor working with large firms. Providing excellent service and personal touches throughout the process can help small firms succeed in the industry.

Customer Analysis

Demographic profile of target market.

Davidson Mortgage will primarily serve the residents of Tucson, Arizona. The area we serve has a significant population of people who are searching for their first home, as well as families and individuals who need a new home.

The precise demographics for Tucson, Arizona are:

Customer Segmentation

Davidson Mortgage will primarily target the following customer segments:

  • Existing homeowners
  • First-time home buyers

Competitive Analysis

Direct and indirect competitors.

Davidson Mortgage will face competition from other companies with similar business profiles. A description of each competitor company is below.

The Loan Store

Established in 2010, The Loan Store originates, finances, and sells mortgage and non-mortgage lending products throughout the United States. It offers a range of consumer credit products, such as home loan products, home equity loans, and unsecured personal loans, as well as home and personal loan servicing. The company claims to be one of the largest private, independent retail mortgage lenders in the U.S. Its current business channels include direct lending, affinity, branch retail, and servicing.

However, agents working with The Loan Store experience high turnover, resulting in little concern for maintaining ongoing relationships with clients. Also, the agents themselves are mixed in quality, ranging from part-time brokers with little experience or sales records to full-time brokers with long-term experience. There is no systematic company method for passing on knowledge from experienced to inexperienced brokers as all are competing with each other, to a certain extent, for commissions.

Direct Loan Connection

Founded in 2006, Direct Loan Connection (DLC) employs licensed mortgage professionals who have access to multiple lending institutions, including banks, credit unions, and trust companies. This access enables the company to offer a vast array of available mortgage products – ranging from first-time homebuyer programs to financing for the self-employed to financing for those with credit blemishes. In addition, to help homebuyers and homeowners, DLC offers commercial mortgages.

Though they are a local leader in the premium end of the market, they refuse to negotiate their broker’s fees and sometimes lose potential clients because of this. Davidson Mortgage’s fees will be far more reasonable.

Supreme Mortgage

Supreme Mortgage specializes in mortgage brokering and is committed to helping homebuyers, and homeowners get the best mortgage with the lowest interest rate. The brokerage works with more than 40 lenders who compete to provide mortgages and who pay Supreme Mortgage’s fee so that clients receive the service free of charge.

Some reviews of Supreme Mortgage point out the low-quality service offered by brokers, who have little training in customer service. Furthermore, Supreme Mortgage does not attempt to maintain long-term relationships with customers who will eventually purchase another home.

Competitive Advantage

Davidson Mortgage enjoys several advantages over its competitors. These advantages include:

  • Location: Davidson Mortgage’s location is near the center of town, in the shopping district of the city. It is visible from the street, where many residents shop for both day-to-day and luxury items.
  • Client-oriented service: Davidson Mortgage will have a full-time assistant to keep in contact with clients and answer their everyday questions. Harold Davidson realizes the importance of accessibility to his clients and will further keep in touch with his clients through monthly seminars on topics of interest.
  • Management: Harold Davidson has been extremely successful working in the mortgage brokerage sector and will be able to use his previous experience to grant his clients detailed insight into the world of home loans. His unique qualifications will serve customers in a much more sophisticated manner than many of Davidson Mortgage’s competitors.
  • Relationships: Having lived in the community for 25 years, Harold Davidson knows many of the local leaders, newspapers, and other influencers.

Marketing Plan

Davidson Mortgage will use several strategies to promote its name and develop its brand. By using an integrated marketing strategy, Davidson Mortgage will win clients and develop consistent revenue streams.

Brand & Value Proposition

The Davidson Mortgage brand will focus on the company’s unique value proposition:

  • Client-focused residential mortgage brokerage services, where the company’s interests are aligned with the customer
  • Service built on long-term relationships and personal attention
  • Big-firm expertise in a small-firm environment

Promotions Strategy

The promotions strategy for Davidson Mortgage is as follows:

Website/SEO

Davidson Mortgage will invest heavily in developing a professional website that displays all of the features and benefits of working with the mortgage broker. It will also invest heavily in SEO so the brand’s website will appear at the top of search engine results.

Social Media

Davidson Mortgage will invest heavily in a social media advertising campaign. Harold and Bethany will create the company’s social media accounts and invest in ads on all social media platforms. It will use targeted marketing to appeal to the target demographics.

Davidson Mortgage understands that the best promotion comes from satisfied customers. The company will work to partner with local realtors by providing economic or financial incentives for every new client produced. This strategy will increase in effectiveness after the business has already been established.

By offering webinars and courses on topics of interest in the office or other locations, Harold Davidson will encourage residents in the community to become comfortable with the expertise and character of Davidson Mortgage. These webinars will generally be offered free of charge as general promotion and for direct networking.

Davidson Mortgage’s pricing will rely on the standard industry rates in order to be perceived as neither a luxury nor a discount broker. The standard rate for brokering a mortgage is 1-2% of the loan amount. By seeking quality clients and maintaining long-term relationships with them, Davidson Mortgage will fend off pressure to discount their rates, even in down markets.

Operations Plan

The following will be the operations plan for Davidson Mortgage.

Operation Functions:

  • Harold Davidson is the founder and will operate as the President of the company. He will be in charge of all the general operations and executive functions within the company. Furthermore, until he hires additional staff, he will personally help all clients who agree to utilize the company’s services.
  • Harold is assisted by his long-term assistant Bethany Peterson. She will serve as the company’s full-time assistant and will manage the company website, coordinate scheduling, and answer basic client questions. Bethany has experience working with C-level executives and has spent significant time as an administrator.
  • As the business grows and Harold takes on more clients, he will hire other mortgage brokers to assist him.

Milestones:

The following are a series of steps that will lead to the company’s long-term success. Davidson Mortgage expects to achieve the following milestones in the next six months:

3/202X            Finalize lease agreement

4/202X            Design and build out Davidson Mortgage office

5/202X            Hire and train initial staff

6/202X            Kickoff of promotional campaign

7/202X            Reach break-even

8/202X            Reach 25 ongoing clients

Financial Plan

Key revenue & costs.

Davidson Mortgage’s revenues will come primarily from the commissions earned from residential mortgage sales.

The major cost drivers for the company will include employee salaries, lease payments, and marketing expenses.

Funding Requirements and Use of Funds

Key assumptions.

The following outlines the key assumptions required to achieve the revenue and cost numbers in the financials and to pay off the startup business loan.

  • Annual lease: $30,000

Financial Projections

Income statement, balance sheet, cash flow statement, mortgage broker business plan faqs, what is a mortgage broker business plan.

A mortgage broker business plan is a plan to start and/or grow your mortgage broker business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can easily complete your Mortgage Broker business plan using our Mortgage Broker Business Plan Template here .

What are the Main Types of Mortgage Broker Businesses?

There are a number of different kinds of mortgage broker businesses , some examples include: Retail Mortgage Broker, Business/Corporate Mortgage Broker, or Private Mortgage Brokers.

How Do You Get Funding for Your Mortgage Broker Business Plan?

Mortgage Broker businesses are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding.

What are the Steps To Start a Mortgage Broker Business?

Starting a mortgage broker business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop A Mortgage Broker Business Plan - The first step in starting a business is to create a detailed mortgage broker business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast. 

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your mortgage broker business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your mortgage broker business is in compliance with local laws.

3. Register Your Mortgage Broker Business - Once you have chosen a legal structure, the next step is to register your mortgage broker business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws.

4. Identify Financing Options - It’s likely that you’ll need some capital to start your mortgage broker business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms.

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations.

6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events.

7. Acquire Necessary Mortgage Broker Equipment & Supplies - In order to start your mortgage broker business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation.

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your mortgage broker business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising. 

Learn more about how to start a successful mortgage broker business:

  • How to Start a Mortgage Broker Business

How to Start a Profitable Customs Brokerage Business [11 Steps]

Nick

By Nick Cotter Updated Feb 05, 2024

customs brokerage business image

Business Steps:

1. perform market analysis., 2. draft a customs brokerage business plan., 3. develop a customs brokerage brand., 4. formalize your business registration., 5. acquire necessary licenses and permits for customs brokerage., 6. open a business bank account and secure funding as needed., 7. set pricing for customs brokerage services., 8. acquire customs brokerage equipment and supplies., 9. obtain business insurance for customs brokerage, if required., 10. begin marketing your customs brokerage services., 11. expand your customs brokerage business..

Before launching a customs brokerage business, conducting a thorough market analysis is crucial to understand the industry dynamics, customer needs, and competitive landscape. This step will help you identify opportunities and challenges, allowing you to strategically position your business for success. Here are some key points to consider in your market analysis:

  • Research the current demand for customs brokerage services in your target market, including import/export volumes and the variety of goods being traded.
  • Analyze the competition by identifying other customs brokers in the area, their service offerings, pricing strategies, and market share.
  • Understand regulatory requirements and changes that could impact the customs brokerage industry, such as trade agreements or tariffs.
  • Identify your potential customer base, including importers, exporters, and companies engaged in international trade, and understand their specific needs and pain points.
  • Assess the technological landscape, including the use of customs brokerage software and automation, to determine how you can leverage technology to gain a competitive edge.
  • Examine economic trends that may influence trade volumes, such as currency fluctuations, economic sanctions, or the global economic climate.

customs brokerage business image

Are Customs Brokerage businesses profitable?

Yes, customs brokerage businesses can be very profitable. Depending on the size and scope of the business, profits can range from a few thousand dollars to millions of dollars a year. The success of a customs brokerage business depends on a number of factors, such as the volume of imports and exports, the quality of customer service, and the effectiveness of the business’s marketing and networking.

Creating a thorough business plan is critical when embarking on the establishment of a customs brokerage business. This plan will serve as a roadmap to guide you through each stage of starting and managing your company, ensuring you consider all the necessary aspects to reach success. Here's how to draft an effective customs brokerage business plan:

  • Start with an executive summary that encapsulates the mission, vision, and the core values of your customs brokerage business.
  • Define your business objectives, short-term and long-term goals, and the strategies you will employ to achieve them.
  • Conduct a market analysis to understand your competition, potential clients, and the demand for customs brokerage services in your target market.
  • Outline your business structure, detailing the ownership, management team, and operational workflow.
  • Develop a marketing and sales strategy that includes your branding, service offerings, pricing structure, and sales tactics.
  • Detail your customer service approach, emphasizing how you will manage client relations and ensure compliance with customs regulations.
  • Provide financial projections, including start-up costs, operating expenses, revenue streams, and profitability forecasts.
  • Include a risk assessment with contingency plans for potential challenges your business may encounter.

How does a Customs Brokerage business make money?

A Customs Brokerage business typically makes money by charging clients fees for handling customs clearance activities such as preparing and submitting documents, providing advice and expertise on regulations, and ensuring timely delivery. They may also charge fees for additional services such as warehousing and transportation.

Developing a brand for your customs brokerage business is crucial, as it differentiates you from competitors and establishes your reputation. A strong brand reflects your company's values, services, and commitment to client satisfaction. Here are key points to consider when building your brand:

  • Identify your unique selling proposition (USP) that sets your service apart from others in the field.
  • Choose a brand name that is memorable, easy to pronounce, and reflects the professional nature of your business.
  • Design a professional logo that represents your brand and can be used across various platforms and materials.
  • Develop a brand voice and messaging that consistently conveys your expertise, reliability, and customer-centric approach.
  • Create a user-friendly website that details your services, showcases testimonials, and provides easy contact information.
  • Ensure all marketing materials, from business cards to brochures, align with your brand's color scheme and design elements.
  • Utilize social media platforms to engage with clients and industry partners, reinforcing your brand's presence and values.
  • Build relationships with industry bodies and participate in networking events to foster brand recognition and trust.

How to come up with a name for your Customs Brokerage business?

Brainstorming is the best way to come up with an effective name for your Customs Brokerage business. Start by writing down words that describe your business, or any ideas that come to mind. After that, look up synonyms of those words to expand your list. You can also look through a thesaurus to find more interesting words to use in your name. Lastly, try combining multiple words together to make your name stand out.

image of ZenBusiness logo

Once you've completed your initial planning and market research for your customs brokerage business, the next crucial step is formalizing your business registration. This process varies depending on your location, but typically involves several key actions to ensure your business is legally recognized and compliant with all regulatory requirements. Below are the steps you should follow to register your business:

  • Choose your business structure (e.g., sole proprietorship, partnership, LLC, corporation) and a unique business name that complies with local naming regulations.
  • Register your business with the appropriate local, state, or federal authorities to obtain a business license or permit. This may include the Secretary of State, Department of Revenue, or a similar entity.
  • Apply for an Employer Identification Number (EIN) from the IRS for tax purposes, especially if you plan to hire employees.
  • Acquire any specific licenses or permits related to customs brokerage from regulatory agencies such as the U.S. Customs and Border Protection (CBP) if you're operating in the United States.
  • Register for state and local taxes, such as sales tax and unemployment insurance tax, to ensure your business remains in good legal standing.
  • Ensure that you have all the necessary insurance policies in place, such as liability insurance and any additional coverage pertinent to customs brokerage services.

Resources to help get you started:

Explore vital materials designed for customs brokerage entrepreneurs, including publications, industry reports, newsletters, and more, offering key insights on market trends, operational best practices, and guidance for strategic expansion:

  • World Customs Journal: A publication focusing on customs policy and practice globally, providing in-depth analysis and insights. - http://www.worldcustomsjournal.org/
  • The Journal of Commerce (JOC): Offers comprehensive news and analysis for transportation and logistics professionals, with a section devoted to customs and regulatory issues. - https://www.joc.com/
  • Customs Brokerage Industry Reports by IBISWorld: Provides market research, statistics, and analysis on the customs brokerage industry, aiding in understanding market trends and forecasts. - https://www.ibisworld.com/
  • The American Association of Exporters and Importers (AAEI): Offers newsletters and reports that include updates on legislative and regulatory changes affecting customs brokerage. - http://www.aaei.org/
  • International Federation of Customs Brokers Associations (IFCBA): Provides resources, policy updates, and best practices for customs brokers worldwide. - http://www.ifcba.org/
  • Customs Clearing and Trade Compliance Blogs by Livingston International: Offers insights on customs compliance, trade agreements, and supply chain optimization. - https://www.livingstonintl.com/blog/

Starting a customs brokerage business requires careful compliance with legal and industry-specific regulations. Acquiring the necessary licenses and permits is a crucial step to ensure your operations are legitimate and recognized by the authorities. Follow these guidelines to obtain the required documentation:

  • Research the specific licensing requirements for customs brokers in your country. In the United States, for example, you must obtain a license from the U.S. Customs and Border Protection (CBP).
  • Prepare for and pass the Customs Broker License Examination, if required, which assesses your knowledge of customs regulations and laws.
  • Submit a broker license application along with the required fee and any supporting documents, such as proof of citizenship and business structure documentation.
  • Undergo a background check and fingerprinting, as part of the vetting process by the relevant customs authority.
  • Obtain any additional local or state permits that may be necessary to operate a business in your area.
  • Stay informed about renewals and continuing education requirements to maintain your customs broker license in good standing.

What licenses and permits are needed to run a customs brokerage business?

Depending on the type and scope of your customs brokerage business, you may need to obtain a variety of licenses, permits and registrations. This may include a Customs Broker License issued by the Bureau of Customs and Border Protection (CBP), an OP-Series Permit issued by the CBP, a Business License issued by the state department of revenue or taxation where your business is located, a bond, and any other special licenses or permits required by state or local agencies.

Opening a business bank account is a crucial step in establishing financial order and credibility for your customs brokerage business. It separates your personal finances from your business transactions, simplifying accounting and tax processes. Securing funding, if necessary, ensures you have the capital to cover startup costs, operational expenses, and any unforeseen challenges. Here is some guidance on how to proceed:

  • Choose a bank that offers business banking services with benefits tailored to small businesses, like lower fees or business advisory services.
  • Prepare the necessary documentation, which typically includes your business license, EIN, articles of incorporation, and ownership agreements.
  • Understand the types of business accounts available (checking, savings, merchant services) and select the ones that best fit your business needs.
  • Consider applying for a business credit card to help manage cash flow and keep track of expenses.
  • Explore various funding options, such as small business loans, lines of credit, SBA loans, or investors, to secure the capital you need.
  • Develop a comprehensive business plan to present to potential lenders or investors, showcasing the viability and financial projections of your customs brokerage business.

Establishing competitive and fair pricing for your customs brokerage services is crucial for attracting and retaining clients while ensuring the sustainability of your business. Consider the complexity of services, market rates, and your business costs when setting your prices. Follow these guidelines to help you determine the right pricing structure:

  • Analyze Competitor Pricing: Research what other customs brokers in your area are charging to understand the market rate and to position your services competitively.
  • Cost-Based Pricing: Calculate your costs including overheads, salaries, software, and other operational expenses, then add a reasonable margin to ensure profitability.
  • Value-Based Pricing: Consider the value you bring to your clients, such as expertise, speed, and customer service, and price accordingly.
  • Service Complexity: Set tiered pricing based on the complexity of transactions and the level of service required.
  • Volume Discounts: Offer reduced rates for clients with high volumes of transactions to encourage long-term partnerships.
  • Consultation Fees: Charge for consultancy if you provide specialized advice or custom solutions.
  • Transparent Pricing: Be clear about your fees to build trust with clients and avoid hidden charges that could damage your reputation.
  • Regular Reviews: Regularly review and adjust your pricing to reflect changes in the market, costs, and regulatory environment.

What does it cost to start a Customs Brokerage business?

Initiating a customs brokerage business can involve substantial financial commitment, the scale of which is significantly influenced by factors such as geographical location, market dynamics, and operational expenses, among others. Nonetheless, our extensive research and hands-on experience have revealed an estimated starting cost of approximately $14200 for launching such an business. Please note, not all of these costs may be necessary to start up your customs brokerage business.

When setting up a customs brokerage business, it's important to ensure you have the right equipment and supplies to manage customs processes efficiently and comply with all relevant regulations. Acquiring the necessary tools will enable you to serve your clients effectively and facilitate smooth customs clearance. Here's a list of items you should consider:

  • Computers and Software: Invest in high-performance computers and specialized customs brokerage software for entry processing, client management, and regulatory updates.
  • Printers and Scanners: Obtain high-quality printers and scanners for document management, including printing of customs forms and digitalizing documents for electronic filing.
  • Communication Devices: Ensure reliable communication with clients and customs officials through smartphones, headsets, and two-way radios if necessary.
  • Secure Filing Systems: Set up secure filing cabinets or digital storage solutions for safeguarding sensitive client information and shipment records.
  • Office Supplies: Stock up on essential office supplies like forms, labels, stationary, and packaging materials for day-to-day operations.
  • Reference Materials: Maintain a library of up-to-date customs regulations, tariffs schedules, and trade agreements to reference for accurate classifications and compliance.

List of Software, Tools and Supplies Needed to Start a Customs Brokerage Business:

  • Customs Brokerage Software
  • Accounting Software
  • Invoicing Software
  • Document Management Software
  • Customs Brokerage License
  • Letter of Credit Software
  • Customs Forms
  • Compliance Software
  • Communication Tools (email, phone, etc)
  • Office Supplies
  • Internet Access

Securing the right business insurance is a critical step in establishing a customs brokerage firm. It protects your business from potential liabilities and risks associated with the import and export of goods. Here's what you need to consider:

  • Liability Insurance: Obtain general liability insurance to cover any legal hassles due to accidents, injuries, or claims of negligence.
  • Errors and Omissions Insurance: Also known as professional liability insurance, it protects against mistakes or failures in your brokerage services.
  • Property Insurance: If you own or lease a physical office, this insurance will cover equipment, inventory, furniture, and other property in case of a loss.
  • Cargo Insurance: Offers coverage for the goods in transit under your responsibility.
  • Workers' Compensation: Required in most jurisdictions if you have employees, to cover injuries or illnesses that occur as a result of their work.
  • Auto Insurance: If your business requires the use of vehicles, ensure they are covered for both liability and damage.
  • Umbrella Insurance: Consider an umbrella policy for additional coverage beyond your standard liability policies.
  • Consult with an Insurance Broker: Speak with a professional who understands the customs brokerage industry to tailor your insurance package appropriately.

Now that your customs brokerage business is set up, it's time to attract clients and build your brand in the marketplace. Marketing your services effectively is key to establishing your reputation and generating a steady stream of business. Here are several strategies to get you started:

  • Develop a Website: Create a professional website showcasing your services, expertise, and contact information. Ensure it's optimized for search engines (SEO) to improve visibility.
  • Networking: Attend industry events, join trade associations, and connect with potential clients on professional networking platforms like LinkedIn.
  • Social Media Marketing: Utilize social media platforms to reach a broader audience. Share valuable content related to customs brokerage to position yourself as an expert in the field.
  • Referral Programs: Encourage word-of-mouth marketing by implementing referral programs that reward existing clients for bringing in new business.
  • Advertising: Invest in targeted advertising in trade publications and online platforms frequented by your target market.
  • Content Marketing: Publish articles, blog posts, and whitepapers that help educate your target audience about customs regulations and the value of a customs broker.

Once you have successfully established your customs brokerage business and gained a foothold in the industry, it's time to consider expansion. Expanding your business can take various forms, from increasing your service offerings to entering new markets. Below are key strategies to help you grow your customs brokerage business effectively.

  • Invest in Technology: Implement advanced software to streamline operations, improve customer service, and handle a larger volume of transactions efficiently.
  • Diversify Services: Broaden your service range to include complementary services such as freight forwarding, logistics management, or consulting to provide one-stop solutions to clients.
  • Extend Geographic Reach: Explore opportunities in new markets by opening branch offices in different regions or countries to attract a broader client base.
  • Strengthen Relationships: Build strong partnerships with carriers, government agencies, and international brokers to enhance your network and capabilities.
  • Marketing and Branding: Invest in marketing campaigns and branding efforts to increase visibility in the marketplace and attract new customers.
  • Staff Training and Development: Provide continuous training for your team to ensure they are updated on the latest industry regulations and can offer expert advice to clients.
  • Customer Feedback: Regularly solicit and act on customer feedback to improve your service offerings and customer satisfaction, thereby encouraging repeat business and referrals.

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Freight Brokerage Business Plan

Start your own freight brokerage business plan

Silicon Freight Brokers

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">.

Silicon Freight Brokers (SFB) is a specialized freight broker service located in Hood River, OR. The company has been set up as an Oregon C Corporation by the owner, Steve Tookarefol. SFB’s objective is to become the premier silicon chip freight broker, increasing their client base by 20% a year.

Freight Brokers and Silicon Chips

The freight broker industry is the middle man of the shipping industry. They are also known as third party transportation providers. Freight brokers provide a service by linking customers with shippers and trucking companies. Their service is indispensable when moving goods throughout this country as there are literally hundreds of different shippers offering thousands of different services. The freight brokers make the process of securing a shipper quite easy with one-stop shopping.

The silicon chip industry is a growing industry that to a large degree has fueled the incredible growth of the late 90’s Internet boom. Silicon chips are the basis of all types of computers as well as hand held devices such as cell phones, PDAs, even watches and some household appliances.

SFB will be occupying a niche within the general freight brokerage market by specializing in the shipment of silicon chips. Silicon chips are very specific, unusual cargo that requires special attention. The chips have a very narrow range of temperature and humidity parameters that must be maintained. In addition to these unusual requirements, there are other specific needs that silicon chip companies have. By specializing on silicon chips as their only cargo, SFB will quickly gain market share and be known as the premier broker for chips.

The industry of chips is comprised of two distinct customers, manufacturers of chips and purchasers of chips. The manufacturers are based in the USA, however some of them produce in the States while others farm out production overseas and them import them. The chip purchasers are primarily Intel, IBM, and Motorola.

SFB is led by a seasoned management team of Steve and Wendy Tookarefol. Steve has over 10 years of freight experience, working for several different companies. This work experience has been instrumental in allowing Steve to accurately determine the market need and meet it. SFB has coupled Steve’s in-depth trucking/ freight brokerage knowledge and insight with his wife’s expertise in the silicon chip industry. For the last seven years Wendy has been an industry consultant, working quite close with companies such as Intel.

SFB’s solid business model is forecasted to reach profitability by month six. SFB will achieve market penetration by remaining laser focused on their market niche, while fully utilizing their strong management team.

Freight brokerage business plan, executive summary chart image

1.1 Objectives

Silicon Freight Brokers objectives from the first three years of operation include:

  • To create a service-based company whose #1 ambition is to continually exceed the customer’s expectations.
  • The utilization of Silicon Freight Brokers in at least four of the top 10 silicon chip producers, as listed in Silicon Industry Journal.
  • To increase our number of served clients by 20% per year through superior performance and word of mouth referrals.
  • To develop a sustainable, profitable, start-up business.

1.2 Mission

The Silicon Freight Brokers’ mission is to provide the customer with the most satisfying shipping experience that they have ever experienced. We exist to attract and maintain customers. When we adhere to this maxim, everything else will fall into place. Our services will exceed the expectations of our customers.

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Company summary company overview ) is an overview of the most important points about your company—your history, management team, location, mission statement and legal structure.">.

Silicon Freight Brokers, as the name implies, is a freight broker for the silicon chip industry. SFB has two types of customers, buyers and sellers of silicon chips. SFB is establishing relationships with carriers that specialize in this unique cargo. We will offer our customers the highest level of service.

2.1 Start-up Summary

Silicon Freight Brokers’ (SFB) start-up costs include all the equipment needed for an office. Additionally, there will be legal fees, marketing fees, accounting fees, trade association dues, and deposit for the lease.

The largest expense for the office is a computer system. The minimum requirements for this system are: 600 mhz Pentium processor, 128 megabytes RAM, 10 gigabyte hard drive, printer, and CD-RW, Microsoft Office, and an accounting suite. The office will also require a DSL broadband connection, two land-line phones, fax machine, copier machine, and some office furniture.

The legal fees are for corporate formation, and the generation and review of contracts.

The marketing fees are the costs associated with advertisements in industry journals, brochures, and website visibility generation.

The accounting fees are for the services necessary for the formation of the business, while the majority of the accounting after start up will be done in-house with an accounting suite on the computer.

Trade association dues and a deposit for the lease of the office are self explanatory.

Freight brokerage business plan, company summary chart image

Silicon Freight Brokers is a niche freight broker for the silicon chip industry. SFB will provide a brokerage service to link manufacturers of silicon computer chips and the users of the chips such as Intel, Texas Instruments and Motorola with freight companies. Freight brokers are basically the “middle man” between a shipper and trucking company, also referred to as “third party transportation providers.” SFB will work with companies to find a safe, economical way of transporting silicon chips.

SFB will have two types of customers:

  • Silicon chip manufacturers. These can be further broken down into two categories, those that manufacture overseas, and those that manufacture in the U.S.
  • Manufacturers of processors that utilize silicon chips.

Market Analysis Summary how to do a market analysis for your business plan.">

Silicon Freight Brokers will be concentrating on the freight brokerage of silicon chips. This is a small, specialized, niche of the general freight brokerage industry. SFB is concentrating on this space for several reasons:

  • SFB has extensive industry knowledge and insight regarding freight brokerage and silicon chips.
  • The silicon chip industry is continuing to grow as our dependence on technology increases.
  • There is plenty of space for a new specialty freight brokerage company. SFB’s extensive knowledge of both the freight and chip industry provides for valuable insights that can add significant value to SFB’s customers.

4.1 Market Segmentation

Silicon Freight Brokers will be focusing solely on the freight brokerage of silicon chips. There are two distinct customers in this niche market, manufacturers of the chips, and the buyers of the chips who are processor manufacturers.

The manufacturers of the chips can be further broken down into two groups, those that have manufacturing facilities abroad and those in the U.S. Those that have facilities abroad will generally ship them to a United States ocean port, and from there they travel via truck to a processor manufacturer. The second group of chip manufacturers, those that have facilities in the U.S., transport chips via truck from their facility to the processor manufacturer.

Although, in general, silicon chip production has shifted overseas, there are a collection of chip manufacturers still located in the States. The difference between the two types is not very significant, SFB arranges for the carrier to pick up the chips either off the boat or from the manufacturing facility.

Whether SFB deals with the manufacturer or the seller is a function of the contractual terms that the buyer and seller agree to. Sometimes it is the manufacturer’s obligation to ship, other times it is the buyer’s obligation to arrange pick up of the chips.

The chip buyers are manufacturers that use the chips in their processors. The largest processor manufacturers, Intel, Texas Instruments and Motorola, are located in the U.S.

Freight brokerage business plan, market analysis summary chart image

4.2 Target Market Segment Strategy

Silicon Freight Brokers is concentrating on the silicon chips niche as it is a very specialized, thriving market. By focusing in this market space, SFB will be able to offer superior service. Shipping of silicon chips requires special types of trucks that are humidity and temperature controlled. SFB will form intimate relationships with the unique carriers because this relationship will provide SFB with special insight, which will allow SFB to meet any need a customer might have. Shipping silicon chips has special requirements and SFB will be more familiar with these requirements because it will not be distracted by offering other services. Specialization also allows SFB to develop close relationships to the limited number of carriers that are equiped to transport chips. Lastly, the growth of processor manufacturing, which requires silicon chips, has far outpaced most other industries in this country. This growth rate makes this niche especially attractive.

In the freight broker market, there are general brokers that offer a wide range of services. There are a few companies that specialize, but no one is as niche focused as SFB. Because most all of the silicon chips are transported through the U.S. via trucks, there is considerable growth in the specialty freight brokerage business.

SFB will be marketing our business through several different outlets. The first is the Internet. A lot of the industry has moved to the Web as means for communication regarding freight quotes. SFB will be developing a website where a customer can go to find out an estimate for freight rates. The website would key for finding the requisite information like weight, pick up and destination, and SFB would work with our carriers to find them the most safe and economical solution. Because SFB is only working with silicon chips, the complexity of the number and type of trucks to be used (non-temperature controlled, etc.) is reduced.

SFB will also be running advertisements in silicon chip trade journals. The ads in the silicon chip journals will provide visibility for SFB to the manufacturers and buyers of the chips.

4.3 Service Business Analysis

There are many different freight brokerage services. This market is broken up into generalists, handling all types of freight brokerage, and specialists, handling materials ranging from heavy equipment, oversized loads, perishable commodities, or hazardous materials.

The chip buyers and sellers make the shipping decision based on service (defined by many variables including customer service, speed, safety of the product) and price. Most business is repeat business, 70-80% according to industry statistics. Once a customer finds someone who they are happy with, they typically stay with them.

Strategy and Implementation Summary

Silicon Freight Brokers will be going after the silicon chip market. This is a reasonable target, due to SFB’s industry knowledge. SFB will be bringing customers aboard through the use of a website, advertisements in industry journals, and networking from a combined 17 years of industry experience. SFB will turn these leads into customers through our specialized knowledge which translates to superior service offerings.

5.1 Competitive Edge

SFB’s sustainable competitive advantage is our thorough knowledge of the silicon chip industry and freight brokerage business. Steve has spent the last 10 years in the freight brokerage business and has significant insight for creating business in this industry. Steve’s wife, Wendy, has spent the last seven years consulting for Intel and Texas Instruments regarding the usage of silicon chips for processors. She intimately understands the logistics of the processor manufacturer’s needs of silicon chips and their supply chain for this product. Having inside knowledge about freight brokerage and the niche of supply chain logistics for the silicon chips is rare. Generally, a specialty freight brokerage will concentrate on a niche for whatever reason, but rarely because they have inside knowledge regarding the niche industry product, usually the specialized knowledge is just in the freight brokerage business.

This specialized knowledge, coupled with an unsatiated need to exceed customer’s expectations will give SFB the competitive advantage to succeed in this industry. SFB has made it their mission to provide the finest customer service possible. This makes good business sense, particularly in this industry where so much of the business is repeat business.

5.2 Sales Strategy

The sales strategy will be a two-prong approach, the first prong deals with establishing strategic relationships with the carriers to have a basic portfolio of carriers who excel at moving silicon chips. The second prong deals with closing deals with chip buyers and sellers to utilize our brokerage service.

SFB will be developing strategic relationships with carriers by first assembling a comprehensive report of all the carriers that are silicon chip carriers. SFB will then attempt to enter into mutually beneficial relationships with them. SFB will also have a large portfolio of possible customers that have been developed through marketing and networking activities. The carriers will have a desire to work with SFB if they see that SFB is indeed a company of integrity, as well as a good source of future business.

Once these relationships are established, SFB will be able to offer our future customers a wide range of options. SFB will continue with its marketing efforts to qualify these leads. SFB will also be using our network of friends in the industry to drum up additional business. Customers are looking for a headache-free solution, and this is what SFB will appear like to them. Additionally, SFB industry expertise (freight brokerage and silicon chips) is rare and refreshing and will certainly make the customer feel at ease.

5.2.1 Sales Forecast

The first month and a half will be spent setting up the new office. It is highly unlikely that there will be much sales activity. In addition to dealing with the legal and accounting issues, SFB will be working with a Web developer to get the website up and running. During this period of time SFB will be setting up relationships with carriers.

As a service provider business we have labor costs and expenses, but no direct costs of sales. Labor costs are included in the Personnel table and expenses are listed in the Profit and Loss table.

During month two SFB will be interviewing and hiring for a receptionist/secretary.

During month three SFB will begin to get a few phone calls regarding inquiries for our service. From month three on, business activity will be steadily increasing. By month four SFB will be bringing on one additional person in the capacity of customer service/account representative.

By month five sales will be getting still stronger yet. This assumption is based on the fact that it takes a bit of time for the advertisements in the journals to start becoming effective. When they do they should be bringing in a decent amount of business. Another reason for the business starting to really ramp up by month five is that the networking, that SFB has been continuously working on, will finally begin taking hold and the new customers will be spreading the word about SFB.

Freight brokerage business plan, strategy and implementation summary chart image

5.3 Milestones

Silicon Freight Brokers will have several milestones early on:

  • Business plan completion. This will be done the first month.
  • Office Set-up. This will be done the first month.
  • Have the website up and running by month two.
  • Hire a third employee by month four.

Freight brokerage business plan, strategy and implementation summary chart image

Management Summary management summary will include information about who's on your team and why they're the right people for the job, as well as your future hiring plans.">

Silicon Freight Brokers is a C Corporation with Steve Tookarefol owning 100% of the stock.

Steve, the founder and sole stockholder has a degree in mathematics from Notre Dame University. While in college, Steve worked in a travel agency, learning the nuances of a service-based organization that works on commission. After college, Steve joined Speedy Freight Lines beginning in the accounts department. Recognizing the talent that they had with Steve, Speedy began to move him through many different departments to familiarize him with the entire company. Steve rose to manager of broker accounts and held the position for two years. Steve spent a total of eight years at Speedy. During 2000, Speedy brought a new CEO on board and Steve felt that the company was now being guided in the wrong direction so he left to start his own company.

Steve will be assisted on a consulting basis by his wife, Wendy, who has spent the last seven years as a consultant for Intel and Texas Instruments (among others). Wendy’s areas of expertise include processor usage of silicon chips.

The combination of Steve’s knowledge of the shipping industry and Wendy’s knowledge of silicon chip usage has given SFB the power to succeed in this niche freight brokerage market.

6.1 Personnel Plan

The staff will consist of Steve working full time for SFB as the capacity of owner and licensed broker.

SFB will be hiring additional employees for a secretary/receptionist position and then a customer service/account representative. These positions will be paid an hourly wage and will generally be working full time. SFB will bring these two positions on at staggered times.

SFB will also be using Steve’s wife, Wendy, as an industry consultant who will be generally paid on a monthly invoice.

Financial Plan investor-ready personnel plan .">

The following subtopics will provide more financial information.

7.1 Important Assumptions

See following table for general assumptions.

7.2 Break-even Analysis

This break-even analysis table and chart below project the necessary commission per month. As a service provider business we have labor costs and expenses, but no direct costs of sales. Salary costs are included in the Personnel table and expenses are listed in the Profit and Loss table.

Freight brokerage business plan, financial plan chart image

7.3 Projected Profit and Loss

The following table presents the projected profit and loss.

Freight brokerage business plan, financial plan chart image

7.4 Projected Cash Flow

The following table shows our projected cash flow.

Freight brokerage business plan, financial plan chart image

7.5 Projected Balance Sheet

The following table shows the projected balance sheet.

7.6 Business Ratios

The following table contains important business ratios from the freight transportation arrangement industry, as determined by the Standard Industry Classification (SIC) Index code 4731.

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How to Start a Mortgage Company

start a mortgage company

Starting a mortgage company can be very profitable. With proper planning, execution and hard work, you can enjoy great success. Below you will learn the keys to launching a successful mortgage company.

Importantly, a critical step in starting a mortgage company is to complete your business plan. To help you out, you should download Growthink’s Ultimate Business Plan Template here .

Download our Ultimate Business Plan Template here

14 Steps To Start a Mortgage Company :

  • Choose the Name for Your Mortgage Company
  • Develop Your Mortgage Company Business Plan
  • Choose the Legal Structure for Your Mortgage Company
  • Secure Startup Funding for Your Mortgage Company (If Needed)
  • Secure a Location for Your Business
  • Register Your Mortgage Company with the IRS
  • Open a Business Bank Account
  • Get a Business Credit Card
  • Get the Required Business Licenses and Permits
  • Get Business Insurance for Your Mortgage Company
  • Buy or Lease the Right Mortgage Company Equipment
  • Develop Your Mortgage Company Marketing Materials
  • Purchase and Setup the Software Needed to Run Your Mortgage Company
  • Open for Business

1. Choose the Name for Your Mortgage Company

The first step to starting a mortgage company is to choose your business’ name.  

This is a very important choice since your company name is your brand and will last for the lifetime of your business. Ideally you choose a name that is meaningful and memorable. Here are some tips for choosing a name for your mortgage company:

  • Make sure the name is available . Check your desired name against trademark databases and your state’s list of registered business names to see if it’s available. Also check to see if a suitable domain name is available.
  • Keep it simple . The best names are usually ones that are easy to remember, pronounce and spell.
  • Think about marketing . Come up with a name that reflects the desired brand and/or focus of your mortgage company.

2. Develop Your Mortgage Company Business Plan

One of the most important steps in starting a mortgage company is to develop your mortgage company business plan . The process of creating your plan ensures that you fully understand your market and your business strategy. The plan also provides you with a roadmap to follow and if needed, to present to funding sources to raise capital for your business.

Your business plan should include the following sections:

  • Executive Summary – this section should summarize your entire business plan so readers can quickly understand the key details of your mortgage company.
  • Company Overview – this section tells the reader about the history of your mortgage company and what type of mortgage company you operate. For example, are you a commercial bank, a thrift bank, or a credit union?
  • Industry Analysis – here you will document key information about the mortgage industry. Conduct market research and document how big the industry is and what trends are affecting it.
  • Customer Analysis – in this section, you will document who your ideal or target market are and their demographics. For example, how old are they? Where do they live? What do they find important when purchasing products or services like the ones you will offer?
  • Competitive Analysis – here you will document the key direct and indirect competitors you will face and how you will build competitive advantage.
  • Marketing Plan – your marketing plan should address the 4Ps: Product, Price, Promotions and Place.
  • Product : Determine and document what products/services you will offer 
  • Prices : Document the prices of your products/services
  • Place : Where will your business be located and how will that location help you increase sales?
  • Promotions : What promotional methods will you use to attract customers to your mortgage company? For example, you might decide to use pay-per-click advertising, public relations, search engine optimization and/or social media marketing.
  • Operations Plan – here you will determine the key processes you will need to run your day-to-day operations. You will also determine your staffing needs. Finally, in this section of your plan, you will create a projected growth timeline showing the milestones you hope to achieve in the coming years.
  • Management Team – this section details the background of your company’s management team.
  • Financial Plan – finally, the financial plan answers questions including the following:
  • What startup costs will you incur?
  • How will your mortgage company make money?
  • What are your projected sales and expenses for the next five years?
  • Do you need to raise funding to launch your business?

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3. choose the legal structure for your mortgage company.

Next you need to choose a legal structure for your mortgage company and register it and your business name with the Secretary of State in each state where you operate your business.

Below are the five most common legal structures:

1) Sole proprietorship

A sole proprietorship is a business entity in which the owner of the mortgage company and the business are the same legal person. The owner of a sole proprietorship is responsible for all debts and obligations of the business. There are no formalities required to establish a sole proprietorship, and it is easy to set up and operate. The main advantage of a sole proprietorship is that it is simple and inexpensive to establish. The main disadvantage is that the owner is liable for all debts and obligations of the business.

2) Partnerships

A partnership is a legal structure that is popular among small businesses. It is an agreement between two or more people who want to start a mortgage company together. The partners share in the profits and losses of the business. 

The advantages of a partnership are that it is easy to set up, and the partners share in the profits and losses of the business. The disadvantages of a partnership are that the partners are jointly liable for the debts of the business, and disagreements between partners can be difficult to resolve.

3) Limited Liability Company (LLC)

A limited liability company, or LLC, is a type of business entity that provides limited liability to its owners. This means that the owners of an LLC are not personally responsible for the debts and liabilities of the business. The advantages of an LLC for a mortgage company include flexibility in management, pass-through taxation (avoids double taxation as explained below), and limited personal liability. The disadvantages of an LLC include lack of availability in some states and self-employment taxes.

4) C Corporation

A C Corporation is a business entity that is separate from its owners. It has its own tax identification number and can have shareholders. The main advantage of a C Corporation for a mortgage company is that it offers limited liability to its owners. This means that the owners are not personally responsible for the debts and liabilities of the business. The disadvantage is that C Corporations are subject to double taxation. This means that the corporation pays taxes on its profits, and the shareholders also pay taxes on their dividends.

5) S Corporation

An S Corporation is a type of corporation that provides its owners with limited liability protection and allows them to pass their business income through to their personal income tax returns, thus avoiding double taxation. There are several limitations on S Corporations including the number of shareholders they can have among others.

Once you register your mortgage company, your state will send you your official “Articles of Incorporation.” You will need this among other documentation when establishing your banking account (see below). We recommend that you consult an attorney in determining which legal structure is best suited for your company.

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4. Secure Startup Funding for Your Mortgage Company (If Needed)

In developing your mortgage company business plan , you might have determined that you need to raise funding to launch your own business. 

If so, the main sources of funding for a mortgage brokerage business to consider are personal savings, family and friends, credit card financing, bank loans, crowdfunding and angel investors. Angel investors are individuals who provide capital to early-stage businesses. Angel investors typically will invest in a mortgage company that they believe has high potential for growth.

5. Secure a Location for Your Business

Here are 5 steps to help you find a proper location for your mortgage company. 

  • Decide what type of location you want for your mortgage company. This could be a storefront, office building, or even a home-based business.
  • Research the areas that fit your needs and are affordable. Narrow down your search to a specific area or neighborhood.
  • Get in touch with local real estate agents to see if any properties are available in your desired area.
  • Once you find a property, take into account the necessary renovations that may need to be made before you can open your business.
  • Finalize the lease or purchase agreement and get started on setting up your new mortgage company.

6. Register Your Mortgage Company with the IRS

Next, you need to register your business with the Internal Revenue Service (IRS) which will result in the IRS issuing you an Employer Identification Number (EIN).

Most banks will require you to have an EIN in order to open up an account. In addition, in order to hire employees, you will need an EIN since that is how the IRS tracks your payroll tax payments.

Note that if you are a sole proprietor without employees, you generally do not need to get an EIN. Rather, you would use your social security number (instead of your EIN) as your taxpayer identification number.

7. Open a Business Bank Account

It is important to establish a bank account in your mortgage company’s name. This process is fairly simple and involves the following steps:

  • Identify and contact the bank you want to use
  • Gather and present the required documents (generally include your company’s Articles of Incorporation, driver’s license or passport, and proof of address)
  • Complete the bank’s application form and provide all relevant information
  • Meet with a banker to discuss your business needs and establish a business relationship with them

8. Get a Business Credit Card

You should get a business credit card for your mortgage business to help you separate personal and business expenses.

You can either apply for a business credit card through your bank or apply for one through a credit card company.

When you’re applying for a business credit card, you’ll need to provide some information about your business. This includes the name of your business, the address of your business, and the type of business you’re running. You’ll also need to provide some information about yourself, including your name, Social Security number, and date of birth.

Once you’ve been approved for a business credit card, you’ll be able to use it to make purchases for your business. You can also use it to build your credit history which could be very important in securing loans and getting credit lines for your business in the future.

9. Get the Required Business Licenses and Permits

There are a few licenses and permits you may need to start a mortgage company, depending on your location. For example, you may need a license to offer mortgage services, as well as a license to operate as a mortgage lender. You may also need to register with the state financial regulator. 

Contact your state’s banking or financial regulator for more information on what licenses and permits are required in your area.

10. Get Business Insurance for Your Mortgage Company

The insurance that you need to operate a mortgage company varies depending on the size and type of the company.

Some examples of business insurance policies you should consider for your mortgage company include:

  • General liability insurance : This covers accidents and injuries that occur on your property. It also covers damages caused by your employees or products.
  • Workers’ compensation insurance : If you have employees, this type of policy works with your general liability policy to protect against workplace injuries and accidents. It also covers medical expenses and lost wages.
  • Commercial property insurance : This covers damage to your property caused by fire, theft, or vandalism.
  • Business interruption insurance : This covers lost income and expenses if your business is forced to close due to a covered event.
  • Professional liability insurance : This protects your business against claims of professional negligence.

Find an insurance agent, tell them about your business and its needs, and they will recommend policies that fit those needs.

11. Buy or Lease the Right Mortgage Company Equipment

To run a mortgage broker business, you will need a computer with internet access, a printer, and a fax machine. You might also need office furniture.

12. Develop Your Mortgage Company Marketing Materials

Marketing materials will be required to attract and retain customers to your mortgage company.

The key marketing materials you will need are as follows:

  • Logo : Spend some time developing a good logo for your own mortgage company. Your logo will be printed on company stationery, business cards, marketing materials and so forth. The right logo can increase customer trust and awareness of your brand.
  • Website : Likewise, a professional mortgage company website provides potential customers with information about the products and/or services you offer, your company’s history, and contact information. Importantly, remember that the look and feel of your website will affect how customers perceive you.
  • Social Media Accounts : establish social media accounts in your company’s name. Accounts on Facebook, Twitter, LinkedIn and/or other social media platforms will help customers and others find and interact with your mortgage company.

13. Purchase and Setup the Software Needed to Run Your Mortgage Company

The software you would need to run a mortgage company includes a customer relationship management (CRM) system, an accounting system, and a loan origination system.  

14. Open for Business

You are now ready to open your mortgage company. If you followed the steps above, you should be in a great position to build a successful business. Below are answers to frequently asked questions that might further help you.

How to Finish Your Ultimate Business Plan in 1 Day!

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How to Start a Mortgage Company FAQs

Is it hard to start a mortgage company.

Yes, it can be hard to become an established mortgage company. There are many regulatory hurdles to jump through, and the competition is fierce. However, with a great business plan and some perseverance, it can be done.

How can I start a mortgage company with no experience?

There are a few things you can do to get started in the mortgage industry with no experience. You can start by researching the industry and learning about the different types of mortgages available, the mortgage process, and the role of a mortgage broker.

You can also attend industry and networking events to meet people in the space and learn from their experiences. Finally, you can look for internship or apprenticeship opportunities with a mortgage company to gain experience in the industry.

What type of mortgage company is most profitable?

The most profitable type of mortgage company is one that specializes in refinancing. Mortgage companies that specialize in refinancing are profitable because they require less overhead than originating a new loan. This is because refinancing loans does not involve the same amount of risk and administrative work as issuing a new mortgage. In addition, many homeowners are interested in refinancing their mortgages in order to take advantage of lower interest rates.

How much does it cost to start a mortgage company?

It typically costs between $50,000 and $100,000 to start a mortgage company. This includes the cost of licensing, office space, and hiring employees. This also includes the cost of marketing the new business.

What are the ongoing expenses for a mortgage company?

The ongoing expenses for a mortgage company are the costs that are associated with maintaining the company. This includes the cost of employee salaries, office supplies, and other miscellaneous expenses.

How does a mortgage company make money?

Mortgage brokers make money by charging interest on the loans they issue. They also earn fees for originating and servicing loans. Mortgage companies also may charge fees for providing banking services to their customers. Many of these fees are deductible in computing taxable income so they save the borrower and lender money.

Is owning a mortgage company profitable?

There is no definitive answer to this question as it depends on a number of factors, including the size and location of the mortgage company, the interest rates offered, and the level of competition in the market. However, in general, mortgage companies can be profitable if they are able to offer competitive interest rates, keep overhead low, and maintain a large market share.

Why do mortgage companies fail?

There are a number of reasons why mortgage companies fail. The following are some of the most common.

-Lack of liquidity: Mortgage companies can run into liquidity problems if they are unable to borrow money or access other forms of financing.

-Bad investments: Mortgage companies may invest in risky products that end up defaulting, causing them to lose money.

-Fraud: Some mortgage companies may participate in fraudulent activities, such as inflating the value of homes or providing loans to people who cannot afford them.

-Default on loans: If too many borrowers stop making payments on their mortgages, it can lead to a default by the mortgage company.

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  • Writing a Business Plan

Writing a business plan may seem a daunting task as there are so many moving parts and concepts to address. Take it one step at a time and be sure to schedule regular review (quarterly, semi-annually, or annually) of your plan to be sure you on are track to meet your goals.

Essential Components of a Real Estate Business Plan

Why Write a Business Plan?

Making a business plan creates the foundation for your business. It provides an easy-to-understand framework and allows you to navigate the unexpected.

Quick Takeaways

  • A good business plan not only creates a road map for your business, but helps you work through your goals and get them on paper
  • Business plans come in many formats and contain many sections, but even the most basic should include a mission and vision statement, marketing plans, and a proposed management structure
  • Business plans can help you get investors and new business partners

Source: Write Your Business Plan: United States Small Business Association

Writing a business plan is imperative to getting your business of the ground. While every plan is different – and most likely depends on the type and size of your business – there are some basic elements you don’t want to ignore.

Latest on this topic

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NAR Library & Archives has already done the research for you. References (formerly Field Guides) offer links to articles, eBooks, websites, statistics, and more to provide a comprehensive overview of perspectives. EBSCO articles ( E ) are available only to NAR members and require the member's nar.realtor login.

Defining Your Mis​sion & Vision

Writing a business plan begins by defining your business’s mission and vision statement. Though creating such a statement may seem like fluff, it is an important exercise. The mission and vision statement sets the foundation upon which to launch your business. It is difficult to move forward successfully without first defining your business and the ideals under which your business operates. A company description should be included as a part of the mission and vision statement. Some questions you should ask yourself include: 

  • What type of real estate do you sell?
  • Where is your business located?
  • Who founded your business?
  • What sets your business apart from your competitors?

What is a Vision Statement ( Business News Daily , Feb. 21, 2023)

How to Write a Mission Statement ( The Balance , Jan. 2, 2020)

How to Write a Mission Statement ( Janel M. Radtke , 1998)

Using a SWOT Analysis to Structure Your Business Plan

Once you’ve created a mission and vision statement, the next step is to develop a SWOT analysis. SWOT stands for “Strengths, Weaknesses, Opportunities, and Threats.” It is difficult to set goals for your business without first enumerating your business’s strengths and weaknesses, and the strengths and weaknesses of your competitors. Evaluate by using the following questions:

  • Do you offer superior customer service as compared with your competitors?
  • Do you specialize in a niche market? What experiences do you have that set you apart from your competitors?
  • What are your competitors’ strengths?
  • Where do you see the market already saturated, and where are there opportunities for expansion and growth?

Strength, Weakness, Opportunity, and Threat (SWOT) ( Investopedia , Apr. 21, 2023)

How to Conduct a SWOT Analysis for Your Small Business ( SCORE , Apr. 28, 2022)

SWOT Analysis Toolbox ( University of Washington )

Setting ​Business Goals

Next, translate your mission and vision into tangible goals. For instance, if your mission statement is to make every client feel like your most important client, think about the following:

  • How specifically will you implement this?
  • Do you want to grow your business?
  • Is this growth measured by gross revenue, profit, personnel, or physical office space?
  • How much growth do you aim for annually?
  • What specific targets will you strive to hit annually in the next few years?

What are Business Goals? Definition, How To Set Business Goals and Examples ( Indeed , Mar. 10, 2023)

Planning and Goal Setting for Small Business ( U.S. Small Business Administration )

  • Regular work goals.
  • Problem-solving goals.
  • Innovative goals.
  • Development goals

Establishing a Format

Most businesses either follow a traditional business plan format or a lean startup plan.

Traditional Business Plan

A traditional business plan is detailed and comprehensive. Writing this business plan takes more time. A traditional business plan typically contains the following elements:

  • Executive Summary
  • Company description
  • Market analysis
  • Organization and management
  • Service or product line
  • Marketing and sales
  • Funding request
  • Financial projections

Lean Startup Plan

A lean startup plan requires high-level focus but is easier to write, with an emphasis on key elements. A lean startup plan typically contains the following elements:

  • Key partnerships
  • Key activities
  • Key resources
  • Value proposition
  • Customer relationships
  • Customer segments
  • Cost structure
  • Revenue stream

Creating a Marketing Plan

You may wish to create a marketing plan as either a section of your business plan or as an addendum. The Marketing Mix concerns product , price , place and promotion .

  • What is your product?
  • How does your price distinguish you from your competitors—is it industry average, upper quartile, or lower quartile?
  • How does your pricing strategy benefit your clients?
  • How and where will you promote your services?
  • What types of promotions will you advertise?
  • Will you ask clients for referrals or use coupons?
  • Which channels will you use to place your marketing message?

Your Guide to Creating a Small Business Marketing Plan ( Business.com , Mar. 22, 2023)

10 Questions You Need to Answer to Create a Powerful Marketing Plan ( The Balance , Jan. 16, 2020)

Developing a Marketing Plan ( Federal Deposit Insurance Corporation )

Forming a Team

Ensuring the cooperation of all colleagues, supervisors, and supervisees involved in your plan is another important element to consider. Some questions to consider are:

  • Is your business plan’s success contingent upon the cooperation of your colleagues?
  • If so, what specifically do you need them to do?
  • How will you evaluate their participation?
  • Are they on-board with the role you have assigned them?
  • How will you get “buy in” from these individuals?

How to Start a Rock-Solid Real Estate Team ( The Close , May 26, 2020)

Don’t Start a Real Estate Team Without Asking Yourself These 8 Questions ( Homelight , Jan. 21, 2020)

Implementing a Business Plan and Reviewing Regularly

Implementation and follow-up are frequently overlooked aspects to the business plan, yet vital to the success of the plan. Set dates (annually, semi-annually, quarterly, or monthly) to review your business plans goals. Consider the following while reviewing:

  • Are you on track?
  • Are the goals reasonable to achieve, impossible, or too easy?
  • How do you measure success—is it by revenue, profit, or number of transactions?

And lastly, think about overall goals.

  • How do you plan to implement your business plan’s goals?
  • When will you review and refine your business plan goals?
  • What process will you use to review your goals?
  • What types of quantitative and qualitative data will you collect and use to measure your success?

These items are only a few sections of a business plan. Depending on your business, you may want to include additional sections in your plan such as a:

  • Cover letter stating the reasoning behind developing a business plan
  • Non-disclosure statement
  • Table of contents

How To Write a Business Proposal Letter (With Examples) ( Indeed , Mar. 10, 2023)

How To Implement Your Business Plan Objectives ( The Balance , Aug. 19, 2022)

The Bottom Line

Creating a business plan may seem daunting, but by understanding your business and market fully, you can create a plan that generates success (however you choose to define it).

Real Estate Business Plans – Samples, Instructional Guides, and Templates

9 Steps to Writing a Real Estate Business Plan + Templates ( The Close , Apr. 17, 2023)

How to Write a Real Estate Business Plan (+Free Template) ( Fit Small Business , Jun. 21, 2022)

The Ultimate Guide to Creating a Real Estate Business Plan + Free Template ( Placester )

Write Your Business Plan ( U.S. Small Business Administration )

General Business Plans – Samples, Instructional Guides, and Templates

Business Plan Template for a Startup Business ( SCORE , May 12, 2023)

Guide to Creating a Business Plan with Template (Business News Daily, Feb. 21, 2023)

Nine Lessons These Entrepreneurs Wish They Knew Before Writing Their First Business Plans ( Forbes , Jul. 25, 2021)

How to Write a Business Plan 101 ( Entrepreneur , Feb. 22, 2021)

Books, eBooks & Other Resources

Ebooks & other resources.

The following eBooks and digital audiobooks are available to NAR members:

20 Minute Manager: Creating Business Plans Gather Your Resources, Describe the Opportunity, Get Buy-in (eBook) E

The Straightforward Business Plan (eBook)

Business Plan Checklist (eBook)

The SWOT Analysis (eBook)

The Business Plan Workbook (eBook)

Start-Up! A Beginner's Guide to Planning a 21st Century Business (eBook)

Complete Book of Business Plans (eBook)

How to Write a Business Plan (eBook)

The Easy Step by Step Guide to Writing a Business Plan and Making it Work (eBook)

Business Planning: 25 Keys to a Sound Business Plan (Audiobook)

Your First Business Plan, 5 th Edition (eBook)

Anatomy of a Business Plan (eBook)

Writing a Business Plan and Making it Work (Audiobook)

The Social Network Business Plan (eBook)

Books, Videos, Research Reports & More

As a member benefit, the following resources and more are available for loan through the NAR Library. Items will be mailed directly to you or made available for pickup at the REALTOR® Building in Chicago.

Writing an Effective Business Plan (Deloitte and Touche, 1999) HD 1375 D37w

Have an idea for a real estate topic? Send us your suggestions .

The inclusion of links on this page does not imply endorsement by the National Association of REALTORS®. NAR makes no representations about whether the content of any external sites which may be linked in this page complies with state or federal laws or regulations or with applicable NAR policies. These links are provided for your convenience only and you rely on them at your own risk.

Financial Model, Business Plan and Dashboard Templates - FinModelsLab

How To Write a Business Plan for Customs Brokerage Services in 9 Steps: Checklist

By henry sheykin, resources on customs brokerage services.

  • Financial Model
  • Business Plan
  • Value Proposition
  • One-Page Business Plan

Welcome to our blog post on How To Write a Business Plan for Customs Brokerage Services in 9 Steps: Checklist. If you're looking to revolutionize trade compliance through streamlined customs brokerage services for small and medium-sized businesses, you've come to the right place. In this article, we will guide you through the essential steps to create a comprehensive business plan that paves the way for success in this thriving industry.

Before we dive into the nitty-gritty of writing a business plan, let's take a look at the latest statistical information about the customs brokerage services industry and its growth. According to insert relevant research/statistics , the demand for customs brokerage services is on the rise, particularly for small and medium-sized businesses seeking efficient trade compliance solutions.

Now that we understand the market's potential, let's explore the steps involved in crafting a robust business plan for your customs brokerage services venture.

  • Conduct market research
  • Define the target market
  • Identify the competition
  • Determine the services to be offered
  • Analyze the industry and regulatory requirements
  • Assess financial feasibility and create a budget
  • Develop a marketing strategy
  • Outline operational processes
  • Set goals and objectives

By following these steps, you'll lay the foundation for a successful customs brokerage services business and ensure you are well-prepared for the challenges and opportunities that lie ahead.

Stay tuned for our upcoming blog posts, where we will delve deeper into each of these steps to provide you with actionable insights and expert advice for writing an exceptional business plan. With our guidance, you'll be equipped to take the customs brokerage industry by storm and deliver unparalleled trade compliance solutions to small and medium-sized businesses.

Conduct Market Research

Market research is a crucial step in developing a business plan for customs brokerage services. It allows you to gain a deep understanding of the industry landscape, identify potential customers, and gather valuable insights that will shape your business strategy. Here are some important steps to follow when conducting market research:

  • Identify your target market: Determine the specific industries or businesses that will benefit from your customs brokerage services. This will help you focus your research efforts and tailor your marketing efforts accordingly.
  • Analyze market trends: Keep track of industry trends and changes in trade regulations that could impact your business. Stay informed about the latest developments in international trade and customs compliance.
  • Assess customer needs: Understand the pain points and challenges faced by small and medium-sized businesses when it comes to customs brokerage services. Identify their specific needs and determine how your services can address those needs.
  • Study the competition: Research other customs brokerage firms in your target market. Analyze their strengths, weaknesses, and the services they offer. This will help you differentiate your business and identify potential gaps in the market.
  • Identify potential customers: Conduct surveys, interviews, or focus groups with potential customers to gather feedback and understand their preferences. This will help you refine your service offerings and tailor your marketing messages.

Tips for Market Research:

  • Utilize online resources: Make use of industry reports, trade publications, and online databases to gather market data and insights.
  • Network with industry professionals: Attend trade shows, conferences, and networking events to connect with potential customers and industry experts.
  • Stay updated on trade regulations: Regularly check government websites and regulatory bodies to stay informed about changes in trade policies and customs regulations.
  • Use online surveys or questionnaires: Online tools can help you gather feedback from a larger audience, providing valuable insights on customer preferences and expectations.

Define The Target Market

In order to successfully establish a business in customs brokerage services, it is crucial to define your target market. This involves identifying the specific segment of customers who would benefit the most from your services. By clearly defining your target market, you can tailor your marketing efforts and develop customized solutions that meet the unique needs of your customers.

Important considerations when defining your target market:

  • Demographics: Consider the age, gender, location, and income level of your potential customers. Understanding these demographics will help you tailor your marketing messaging to effectively attract and engage your target audience.
  • Industry Specifics: Analyze the specific industries that can benefit from your customs brokerage services. Are there any emerging industries or niche markets that have a high demand for your services?
  • Geographical Scope: Determine the geographical area you want to focus on. Will you serve local businesses only or expand your services globally?
  • Business Size: Consider whether you want to target small, medium-sized, or large businesses. Each segment may have different needs and preferences when it comes to customs brokerage services.
  • Competitor Analysis: Analyze your competitors to identify the gaps in the market that you can fill. Assess their target market and see if there are any underserved customer segments that you can cater to.

Tips for Defining Your Target Market:

  • Conduct surveys, interviews, or focus groups with potential customers to gain insights into their needs, pain points, and preferences.
  • Utilize market research tools and reports to gather data on market trends, customer behavior, and industry growth projections.
  • Monitor social media platforms, forums, and online communities where your target market may engage in discussions related to customs brokerage services.
  • Stay updated with changes in trade policies, regulations, and international trade agreements to identify potential target markets.
  • Consider partnering with industry associations, trade organizations, or other businesses that cater to your target market to extend your reach and enhance your credibility.

Identify The Competition

Identifying the competition is a crucial step in developing a successful business plan for customs brokerage services. Understanding who your competitors are, what they offer, and how they operate will provide valuable insights that can help you differentiate your business and develop a strong competitive advantage.

Start by conducting thorough research to identify all potential competitors in the customs brokerage industry. Look for both local and national players who offer similar services to your target market. Keep in mind that competition may not be limited to traditional customs brokers; it could also include freight forwarders or logistics companies.

Once you have identified your competitors, analyze their strengths and weaknesses. Assess the services they provide, pricing structures, customer reviews, and any unique selling points they have. This information will help you understand what sets your business apart and how you can position yourself in the market.

Tips for identifying the competition:

  • Utilize online directories, industry associations, and trade publications to gather a comprehensive list
  • Visit competitors' websites and social media platforms to understand their branding and marketing strategies
  • Read customer reviews and testimonials to gauge their reputation and customer satisfaction levels
  • Attend industry conferences and trade shows to network with competitors and gain firsthand knowledge
  • Consider conducting mystery shopping or using competitor analysis tools to gather additional insights

By thoroughly identifying and analyzing your competition, you can better position your customs brokerage services and develop strategies to differentiate yourself in the market. This understanding will enable you to address potential challenges and opportunities while crafting a compelling business plan that stands out from the competition.

Determine The Services To Be Offered

When it comes to starting a customs brokerage service, determining the services you will offer is a crucial step in creating a successful business plan. It’s important to carefully evaluate the needs of your target market and identify the services that will set your business apart from competitors.

Start by considering the core services that are typically associated with customs brokerage, such as customs clearance, tariff classification, and import/export documentation. These are the foundational services that every customs brokerage business should provide.

However, to stand out from the competition and meet the evolving needs of your customers, you may want to consider offering additional value-added services. These could include:

  • Trade compliance consulting: Providing expert advice and assistance to ensure that clients comply with all relevant trade regulations and laws.
  • Freight forwarding: Offering end-to-end logistics services, including arranging transportation and managing the movement of goods.
  • Supply chain management: Helping clients optimize their supply chain by identifying cost-saving opportunities and implementing efficient processes.
  • Customs duty optimization: Assisting clients in minimizing their customs duties and taxes through strategic planning and leveraging trade agreements.
  • E-commerce solutions: Developing tailored solutions for online businesses to facilitate international trade and customs compliance.
  • Conduct market research to identify the specific needs and pain points of your target market, which can help you determine the additional services to offer.
  • Consider the expertise and resources required to deliver each service, ensuring that you have the necessary skills and capabilities in-house or the ability to outsource.
  • Regularly review and update your service offerings to stay abreast of industry trends and changes in trade regulations.

By carefully considering the services you will offer, you can position your customs brokerage business as a valued partner for small and medium-sized businesses looking to streamline their trade compliance processes and revolutionize their international operations.

Analyze The Industry And Regulatory Requirements

When starting a customs brokerage services business, it is crucial to thoroughly analyze the industry and regulatory requirements. This step will help you understand the market landscape and legal obligations, ensuring compliance and success in the long run.

Industry Analysis: Begin by researching the customs brokerage industry and identifying key trends, challenges, and opportunities. Understand the size and growth rate of the market, as well as the potential demand for your services. Conducting a thorough analysis will provide insights into the competitive landscape and help you position your business effectively.

Regulatory Requirements: Customs brokerage services involve dealing with international trade regulations and customs laws. It is essential to be well-versed in these requirements to protect your clients' interests and avoid legal complications. Research the specific regulations that apply to your target market, including import and export restrictions, licensing and permits, documentation requirements, and compliance processes. Consider consulting with legal experts to ensure you fully understand and adhere to all applicable regulations.

Tips for Analyzing Industry and Regulatory Requirements:

  • Stay updated with changes in customs regulations and industry trends through ongoing research and engagement with industry associations.
  • Network with professionals already operating in the customs brokerage services industry to gain valuable insights and learn from their experiences.
  • Consider joining relevant trade associations or organizations that can provide resources and support for navigating industry and regulatory challenges.
  • Keep a close eye on regulatory updates to ensure your business remains compliant and responsive to changes.

By thoroughly analyzing the industry and regulatory requirements, you will be able to develop strategies and plans that align with the market needs and comply with legal obligations. This step is essential for building a solid foundation for your customs brokerage services business and ensuring its long-term success.

Assess Financial Feasibility And Create A Budget

Assessing the financial feasibility of your customs brokerage services and creating a budget is crucial for the success of your business. It allows you to determine whether your business idea is financially viable and helps you plan for the necessary resources required to get started.

Here are some important steps to consider:

  • Calculate startup costs: Determine the initial expenses you will incur, such as office space, equipment, legal fees, licenses, and permits. Make sure to factor in any costs associated with developing or procuring technology solutions.
  • Estimate ongoing expenses: Identify the recurring costs your business will need to cover on a regular basis, including employee salaries, marketing expenses, office supplies, insurance, and transportation costs.
  • Forecast revenue: Conduct market research to estimate the potential revenue you can generate. This will depend on factors such as the size of your target market, pricing strategy, and potential sales volume. Use conservative estimates to ensure you are not overestimating potential income.
  • Create a budget: Based on your estimated expenses and revenue forecasts, develop a detailed budget that outlines how you will allocate your financial resources. This will help you plan for each expense category and ensure you have enough funds to cover all necessary aspects of your customs brokerage services.
  • Identify funding sources: Determine how you will fund your customs brokerage services. Evaluate whether you have sufficient personal funds, or if you need to seek external financing options such as loans, grants, or investment partners.

Tips for Assessing Financial Feasibility and Creating a Budget:

  • Consult with a financial advisor or accountant to ensure your budget accurately reflects all costs and revenue potential.
  • Consider setting aside an emergency fund to prepare for any unforeseen expenses or fluctuations in revenue.
  • Regularly review and update your budget as your business grows to ensure it remains realistic and reflects changing financial needs.

By carefully assessing the financial feasibility of your customs brokerage services and creating a comprehensive budget, you will have a clear understanding of the financial aspects of your business. This will enable you to make informed decisions and establish a solid foundation for your venture.

Develop A Marketing Strategy

Developing a sound marketing strategy is crucial for successfully promoting and growing your customs brokerage services. It involves identifying your target market, understanding their needs, and positioning your services effectively in the market.

1. Identify your target market: Begin by clearly defining your target audience. Consider factors such as their industry, size of business, geographical location, and specific trade compliance needs. This will help you tailor your marketing efforts and messages to resonate with potential customers.

2. Understand your customers' needs: Conduct comprehensive market research to gain deeper insights into the challenges and pain points faced by small and medium-sized businesses when it comes to trade compliance. This will enable you to position your services as a solution to their problems.

3. Craft a compelling value proposition: Clearly define what sets your customs brokerage services apart from the competition. Highlight the benefits, expertise, and unique selling points that make your services the best choice for potential customers. Use this value proposition to differentiate your brand in the market.

4. Choose the right marketing channels: Identify the most effective marketing channels to reach your target audience. This could include online platforms such as social media, search engine optimization, and email marketing, as well as offline methods such as industry events and trade publications.

5. Create engaging content: Develop high-quality content that educates and informs your target market about the importance of trade compliance and the value of your services. This could include blog posts, whitepapers, case studies, and videos that showcase your expertise and demonstrate the benefits of working with your customs brokerage.

  • Utilize social media platforms like LinkedIn and Twitter to connect with potential customers and industry professionals.
  • Consider partnering with industry influencers or associations to increase your brand visibility.
  • Offer free resources such as trade compliance guides or webinars to capture leads and build trust with potential customers.

6. Implement targeted advertising: Leverage digital advertising platforms to target your ideal customers. This could involve running targeted ads on platforms like Google Ads or social media ads on platforms such as Facebook or LinkedIn. Use demographic and interest-based targeting to reach those most likely to be interested in your services.

7. Build relationships and network: Attend industry events, trade shows, and conferences to connect with potential customers and industry professionals. Participate in speaking engagements or host workshops to position yourself as an expert in the field. Building strong relationships and networks can lead to valuable referrals and collaborations.

8. Monitor and analyze your marketing efforts: Regularly track and assess the performance of your marketing activities. Monitor key metrics such as website traffic, leads generated, conversion rates, and customer feedback to evaluate the effectiveness of your strategies. Use this data to make informed adjustments and optimizations.

9. Continuously refine and adapt: The marketing landscape is ever-evolving, and it is essential to continuously refine and adapt your marketing strategy to stay relevant. Stay updated on industry trends, emerging technologies, and the changing needs of your target market. This will ensure your customs brokerage services remain at the forefront of the industry.

Outline Operational Processes

When starting a customs brokerage services business, it is crucial to clearly define and outline your operational processes. This step ensures that your business runs smoothly and efficiently, providing high-quality services to your clients. Here are the key points to consider when outlining your operational processes:

  • Internal Processes: Start by defining the internal operations of your customs brokerage services. This includes tasks such as handling paperwork, managing customs documentation, coordinating with stakeholders, and ensuring compliance with regulations.
  • Standard Operating Procedures: Develop detailed standard operating procedures (SOPs) that outline step-by-step instructions for each task. SOPs provide clarity to your team members and help maintain consistency in service delivery.
  • Technology and Systems: Identify the technology and systems required to streamline your operational processes. Consider investing in customs software, electronic data interchange systems, and automated reporting tools to enhance efficiency and accuracy.
  • Staffing and Training: Hiring the right staff and providing them with comprehensive training is crucial for a successful customs brokerage services business. Clearly define roles and responsibilities, and ensure ongoing training and skill development to keep up with industry changes.
  • Quality Control: Implement quality control measures to monitor and evaluate the performance of your operational processes. Regularly review your processes, identify areas for improvement, and take corrective actions to maintain high-quality services.
  • Document your operational processes in detail to ensure consistency and facilitate training of new employees.
  • Regularly review and update your procedures to adapt to changes in regulations or industry practices.
  • Consider utilizing technology solutions to automate repetitive tasks and improve efficiency.
  • Establish strong communication channels with clients and stakeholders to ensure a smooth flow of information.
  • Monitor key performance indicators (KPIs) to track the effectiveness of your operational processes and make data-driven decisions.

By outlining your operational processes, you lay the foundation for a successful customs brokerage services business. This step ensures clarity, consistency, and efficiency in delivering your services to clients, enabling you to revolutionize trade compliance for small and medium-sized businesses.

Set Goals and Objectives

Setting clear goals and objectives is essential for the success of any business, including a customs brokerage service. These goals will serve as a roadmap and provide direction for your business, helping you stay focused on what you want to achieve. Here are some steps to help you set effective goals and objectives for your customs brokerage services:

  • Identify your long-term vision: Start by envisioning where you see your customs brokerage service in the future. This will help you determine your ultimate goals and objectives that align with your business idea.
  • Break down your long-term vision into short-term goals: Once you have your long-term vision in mind, break it down into smaller, achievable goals. These short-term goals will help you track your progress and make your vision more attainable.
  • Make your goals specific, measurable, achievable, relevant, and time-bound (SMART): Ensure that your goals and objectives are specific, so you have a clear understanding of what you want to achieve. Make them measurable so that you can track your progress. Ensure they are achievable and relevant to your customs brokerage services. Lastly, set a timeframe to achieve these goals.
  • Prioritize your goals: It's important to prioritize your goals and objectives. Identify which goals are most critical to the success of your customs brokerage service and focus on them first. This will help you allocate your resources more effectively.
  • Create an action plan: Develop an action plan for each goal and objective. Outline the steps you need to take, the resources required, and the timeline for completion. This will help you stay organized and ensure progress towards your goals.
  • Regularly review and reassess your goals: As your customs brokerage service evolves, it's crucial to regularly review and reassess your goals and objectives. This will allow you to make necessary adjustments and ensure they are aligned with the changing needs of your business.
  • Involve your team members in the goal-setting process to generate buy-in and collaboration.
  • Set both financial and non-financial goals to have a holistic view of your business success.
  • Regularly track and measure your progress towards your goals to stay on track and make necessary adjustments.
  • Adapt your goals and objectives as your customs brokerage service grows and as market conditions change.

By setting clear goals and objectives, you'll be able to drive your customs brokerage service towards success. These goals will serve as a constant reminder of what you're working towards, keeping you motivated and focused on revolutionizing trade compliance through your streamlined customs brokerage services for small and medium-sized businesses.

In conclusion, writing a business plan for customs brokerage services requires a thorough analysis of the market, competition, and regulatory requirements. By conducting market research, defining the target market, and identifying the competition, you can position your customs brokerage services to revolutionize trade compliance for small and medium-sized businesses. Additionally, assessing financial feasibility, developing a marketing strategy, outlining operational processes, and setting goals and objectives will contribute to the success of your customs brokerage business. With a well-crafted business plan, you can create a roadmap for providing streamlined customs brokerage services and capitalize on the growing demand in the industry.

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Introduction to brokerage accounts

How a brokerage account works, types of brokerage accounts.

  • Benefits of brokerage accounts
  • How to open

Managing your brokerage account

  • The bottom line

What is a brokerage account? A beginner's guide to investing

Our experts answer readers' investing questions and write unbiased product reviews ( here's how we assess investing products ). Paid non-client promotion: In some cases, we receive a commission from our partners . Our opinions are always our own.

  • Brokerage accounts are financial accounts through which investors hold, buy, and sell various assets.
  • Broker-dealers, investment companies, and online trading platforms offer brokerage accounts option for individual investors.
  • Several types of brokerage accounts exist, serving different needs and with different tax statuses.

Insider Today

Looking to get started in the stock market? First things first: open a brokerage account. 

Brokerage accounts are like savings accounts for investable securities like stocks, bonds, cryptocurrencies, and much more. Investors can open a brokerage account through a bank, online investment platform, or other financial institution. 

Here's a beginner's guide to brokerage accounts, how they work, and how to open one. 

Brokerage accounts are investment accounts where you keep financial products and investable securities. Opening at least one brokerage account should be a key element of your financial plan to meet your financial goals. 

Investments you can hold in a brokerage account investment options include:

  • Mutual funds
  • Exchange-traded funds ( ETFs )
  • Cryptocurrencies
  • Commodities
  • Real estate investment trusts ( REIT s)

Unlike traditional bank accounts that hold cash, the assets held in a brokerage account have a varying degree of liquidity and therefore can't be withdrawn instantly. When you sell an investment, it may take a day or two before everything clears and you actually receive the funds.  

To invest via a brokerage account, an individual deposits funds with a licensed firm, directing the broker on which assets to invest in. The broker is then responsible for executing an investor's orders. 

The client receives notices of transactions and monthly statements — either paper or electronically. 

Brokerages typically charge annual fees to service and maintain your accounts. Clients may also be expected to pay commissions on reactions. 

A variety of firms offer brokerage accounts, including traditional broker-dealers like Merrill Lynch and TD Ameritrade. Investment companies like BlackRock and Vanguard, which sponsor and manage mutual funds and ETFs, also offer brokerage accounts. 

Plus, you can always open an account with some of the best investment apps like Betterment, E*TRADE, and Wealthfront.

How brokerage accounts are insured

Brokerage accounts are insured by the Securities Investors Protection Corporation (SIPC). Like FDIC insurance for bank accounts, SIPC will refund you up to $500,000 per account if the brokerage fails or goes bankrupt.

SIPC insurance does not protect investors from a poor-performing investment portfolio . If the assets in your account drop in price or value, there's no insurance to cover that risk. 

How brokerage accounts are taxed

Brokerage accounts are usually taxable at the federal or state level. Regardless of whether or not you withdraw assets from your account, you'll likely have to pay income tax for that year. The same goes for capital gains, but you won't pay tax on those gains until you sell. 

You can have multiple brokerage accounts, and different types of brokerage accounts serve different purposes.

Cash accounts

The most common type of brokerage account is the standard cash account (aka a brokerage account funded by your own funds). Standard cash accounts are taxable accounts that give investors access to a multitude of investable securities. 

Popular kinds of cash brokerage accounts include: 

  • Retirement savings accounts: Investment accounts for retirement savings include tax-advantaged 401(k)s and IRAs with interest-gaining capabilities for long-term growth. Withdrawals are usually penalized until the account owner is at least 59 1/2, or there's a 10% fee. 
  • Education savings accounts: Education accounts like 529 savings plans are commonly used to fund academic expenses like tuition, vocational school, and apprenticeships. These plans are tax-advantaged with tax-free withdrawals for eligible expenses. 
  • Custodial accounts: These are investment accounts for minors but managed by a parent or guardian until the beneficiary reaches the age of majority. Similar to a 529 plan, the best custodial accounts are typically UTMA/UGMAs, which can be used for educational expenses but can also be used for virtually anything that benefits the child. 
  • Managed accounts: Sometimes referred to as discretionary accounts, these brokerage accounts are professionally managed by finanical advisors. This means they can execute trades without the client's permission. Automated investment platforms, such as the best robo-advisors , also fall under this category. But rather than a human financial advisor, robo-advisors are equipped with AI algorithms and pre-curated portfolio options. 

Margin accounts

Margin brokerage accounts are similar to cash accounts but invest in funds using borrowed money (up to 50% of the investment's purchase price) rather than cash. Investing on margin is essentially acquiring a loan, so you'll be responsible for paying back the contents in full (including any accrued interest).

Investing through margin can pose higher risks and will also be more costly, but you'll get more investment options and increase your chance of higher gains. They also often have a much higher minimum requirement. For example, a margin account through Vanguard requires a $2,000 minimum requirement. 

Cash accounts vs. margin accounts may be a better choice for beginners or hands-off investors. Margin accounts, on the other hand, are a better fit for advanced traders and active investors with higher risk tolerances. 

Benefits of using a brokerage account

Investing through a brokerage account is the key to short-term and long-term wealth. Your money will lose value over time if you leave it idly sitting in a checking or savings account. By investing your money in a brokerage account, you'll be accusing additional interest and gains to combat inflation. 

Moreover, investing through a brokerage account offers tax advantages such as tax deductions or tax-free withdrawals during retirement. You'll be able to choose whether to be a passive or active investors , and the kinds of assets you're looking to fund. 

There are even brokerage accounts specifically for novice investors. The best online brokerages for beginners offer low fees, simplified trading strategies, low-cost investment options, and educational resources. 

Drawbacks of using a brokerage account

Remember that investing through a brokerage account comes with a level of risk, even with some of the "safest" investments like bonds or treasury notes. There's no guarantee that the assets held in your account will succeed. And while you're insured if the bank or firm you're account is held at fails or goes bankrupt, you're not insured if your portfolio fails. 

Brokerage accounts also usually charge fees and commissions. Depending on the broker and the kinds of investments being managed, you may be charged costly fees or required to pay high minimums. 

How to open a brokerage account

When it comes to opening your first brokerage account, the opportunities are almost endless. Brokerage accounts can be opened in person or online through some of the best online brokerage accounts or investing apps. 

Keep in mind that not all banks or platforms offer every type of brokerage account. For example, if you're looking to open an IRA online, you'll want to double-check that the place you're looking to open an account actually offers IRAs as an account option. In addition, make sure the investment options (such as stocks, bonds, ETFs) you want to invest in are available. 

Certain platforms also offer certain features and investment tools like customizable portfolios, automatic rebalancing, tax-loss harvesting, and more. 

Fees associated with brokerage accounts and balance requirements vary greatly. Exclusively online brokerages tend to be cheaper because they have less overhead than traditional, brick-and-mortar firms. Some brokerages will require a minimum deposit before opening, which can range from $0 to $25,000 or more.  

Here are a few things to look for when evaluating a brokerage:

  • Commissions : Some brokerages charge commissions, or transaction fees, whenever you buy or sell any of your holdings.
  • Maintenance fees: Many firms charge a small annual amount to maintain and service your account. Note: This differs from the annual fee, an expense ratio, that a particular mutual fund or ETF often charges you.
  • Management fees: These apply mainly to discretionary accounts where a professional actively makes investment decisions for you. Their fee is usually structured as a percentage of assets under management.
  • Balance requirements: These are minimum account balances that must be maintained to avoid being charged an additional fee.
  • Investment options : Not all brokerages offer the same services or types of investments. They might not let you deal in commodities or over-the-counter stocks.  So, it's important to make sure the firm you select can accommodate your investment needs.
  • Account statements : Most brokerage firms are required to provide account statements detailing completed transactions each month. They must also submit annual tax statements and forms — copies of information sent to the IRS — to help investors prepare their returns.

Once you find a broker or investment platform that offers the kind of account/investments you're looking for, make sure you can meet all of the account requirements and know the fees and restrictions involved with signing up. 

Make informed investment decisions

Opening your first brokerage account with a trusted bank or investment platform is only the first step.  Next, you need to learn how to manage a brokerage account effectively.

You should be knowledgeable of the ins and outs of your account, but also of the assets you choose to invest in. All investable assets come with a level of risk and volatility that, when responsibly managed, can yield high returns and help you reach your goals. 

Make sure to understand your portfolio's asset allocation, how your investments correlate with one another, and the importance of portfolio diversification . You should also set clear finanical goals based on your risk tolerance and time horizon. 

Monitoring and rebalancing

All brokerage accounts, hands-on or hands-off, must be monitored and rebalanced regularly in order to meet your investment goals. The assets held in your brokerage account will fluctuate in response to the market, so you'll need to monitor your account to ensure it's on the right track.

How frequently you need to rebalance your portfolio depends on the kinds of assets in your account and your preferred investment strategy. Active traders investing in riskier and more volatile assets (such as cryptocurrencies) will need to rebalance their accounts more frequently than passive investors.

Brokerage account — Frequently asked questions (FAQs)

Generally anyone over the age of 18 can open a brokerage account. You'll need to have a valid ID and social security number (or something of that equivalent) to open a brokerage account through a bank or financial institution. 

Brokerage accounts are not insured by the FDIC but rather protected by the SIPC. The SIPC provides you with insurance, up to a certain limit, in the event that the bank or investment platform fails or goes bankrupt. 

Yes. You can lose money in a brokerage account because all investing through a brokerage account comes with a certain degree of risk. You can mitigate the risk of your brokerage by making smart investment decisions, regularly rebalancing your portfolio, and diversifying your investments across and within different market sectors. 

The money you need to open a brokerage account varies widely depending on the institution you go through and the kind of account you open. Many brokerage firms have no minimum deposit requirement for opening an account, though some investments within the account may require a much higher minimum purchase amount like $5,000 or $25,000. 

A brokerage account is a taxable investment account used for buying and selling securities. Retirement accounts, like IRAs and 401(k)s, are a type of brokerage account that also offers long-term wealth building strategies and tax-advantages. 

Are brokerage accounts worth it? 

Brokerage accounts come in many variations, and the kind of account you should open largely depends on what you're looking to invest in and the goals you're aiming for. Opening a brokerage can help you meet long-term financial needs, like savings to buy a house, save for retirement, or pay for college. 

Meet with a finanical professional like a fiduciary advisor or CFP if you need help opening or managing a brokerage account. 

brokerage company business plan

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Moscow International Business Centre (MIBC)

The Moscow International Business Centre (MIBC) is an ambitious engineering project in the centre of Moscow. The site is

Estimated Investment

$12 billion

Construction Started

Moscow, Russia

Project Type

Business complex (city within a city)

CITY JSC, Moscow City Government

brokerage company business plan

The Moscow International Business Centre (MIBC) is an ambitious engineering project in the centre of Moscow. The site is on an old urban area near the river embankment. The goal of the project is to create a new business district within the city.

The whole complex is to be built on a 100ha site (divided into 30 plots) designated for new development on the Krasnopresnenskaya embankment. The management company for the project is CITY Joint Stock Company (CITY JSC), a company first set up in 1992 as a collaboration between the Russian government and private investors.

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The project was first launched in the early 1990s but has been stalled for much of the last 10 years due to a lack of investment. In 2003 the project started to attract investment again and has been gaining momentum ever since.

PLOT 1: BAGRATION BRIDGE AND TOWER 2000 OFFICE COMPLEX

The first major building constructed in the MIBC project on Plot 1 was the Bagration Bridge (pedestrian bridge) and mall, completed in 1999. The second project was the Tower 2000 office complex, a multi-use business complex begun in 1996 and completed in 2001. The building is 106m high and has 30 storeys above ground and four storeys below. The total floor area of the complex is 60,000m².

The underground area contains parking garages, restaurants, retail areas and a fitness centre. Floors 3–15 and 17–26 are business offices while floors 8 and 27 have a media centre, large exhibition hall and piano bar.

The business areas are served by structured cable network, fibre optic cable, satellite broadcasting, Wi Fi and ADSL Internet access, automatic digital telephone exchange with integration of services, local broadcasting system, municipal broadcasting network, electric timing system, data collection and processing system, audio and video systems, simultaneous interpreting system, conference system, video projection system and security systems including biometric access control and a monitoring system.

The tower also has a central air conditioning system, auxiliary exhaust ventilation system, cooler and heat supply systems, Uninterruptible Power Supply system (UPS), automatic fire security system, automatic volumetric fire-fighting system, sprinkler system and automatic smoke removal system.

The general contractor for the tower was Promstroytechnologia-M Company Ltd. The facade of the tower, which is made of glass and structured concrete, was constructed by Transwall Technology. The tower is equipped with 17 computerised rapid elevators, supplied and installed by Schindler Aufzuege AG, and an outer panoramic elevator, supplied and installed by Kone Lifts. The exterior lighting equipment was supplied and installed by Thorn.

PLOTS 2 AND 3: MOSCOW WEDDING PALACE AND CITY SQUARE

The sites designated by plots 2 and 3 are now to be developed as the Moscow Wedding Palace and City Square. This will include a city square, an underground retail complex and a 14 storey multipurpose complex, which will include the Wedding Palace, banquet halls, restaurants, shops and a hotel.

The developer is Capital City Developments. The architect is Mosproject – 2. The construction started in 2005 and is scheduled to be complete by the end of 2007.

PLOT 4: AQUAPARK

The Aquapark leisure complex was started in 2002 and was completed in 2005. The site occupies a 1.74ha area adjacent to Krasnopresnenskaya embankment. It includes:

  • Complex of swimming pools, water mountains and leisure attractions, restaurants and cafes and retail areas (24,352m²)
  • Five-star, 30-storey hotel complex (54,640m²) built on a six-storey podium containing retail areas, restaurants and nightclubs
  • Parking to accommodate 425 vehicles (13,050m²)
  • The aqua park will be connected with a mooring on the Moscva River

The developer of the complex was Aqua-City Palas Company Ltd. The project required an estimated investment of $230 million. The general contractor was Liard Stroy Ltd and the designers were Mosproekt-2 of Russia and Tkhomesto Engineering of Finland.

PLOTS 6, 7 AND 8: UNDERGROUND MALL AND METRO STATIONS

A large underground complex containing the central core of the MIBC, an underground mall and two metro stations is located on these plots. Construction started in late 2001 on the 5.1ha site and was completed in mid-2004. The complex has a total floor area of 150,000m² and includes:

  • 35,000m² shopping mall
  • 20,000m² multi-purpose performance complex
  • 10,000m² dancing complex
  • 15,500m² sports and leisure complex
  • 30,000m² ‘Wonderful World of Entertainment’ theme park
  • 7,000m² restaurant complex
  • 30,000m² hotel

The complex developer was CITY JSC and the designers were Mosproekt-2. The construction engineers were Bovis Europe and Jones Lang Lassale of the UK.

PLOT 9: CAPITAL CITY PROJECT

This project involves the construction of two connected tower blocks and a dome. The towers will be of 73 and 62 storeys high, with a 16-storey domed building containing an atrium. Connecting the buildings will be a podium building with three storeys above ground and 4–6 below ground.

The lower levels of each tower will be for office space (200,000m²), while the upper levels (above 80m) will be residential and the dome will be used as a retail area. The investment for the project is $250 million.

The developer is Capital Group; the construction engineers are Bouygues Construction and the architects are Erick van Egeraat Associated Architects of Holland. Construction has been underway since 2005 and the project is scheduled for completion in mid-2007.

PLOT 10: NABEREZHNAYA TOWER

This project involves the construction of a new office and apartment complex consisting of three A-Class buildings 16 (86m), 27 (135m) and 52 (250m) storeys high, with a total floor area of 220,000m². The construction began in mid-2003 on the 2.55ha site with the smallest of the three buildings.

The first building was completed in autumn 2004. Enka, a Turkish construction company , is carrying out the development and construction. Enka has invested a total of $150 million so far. Work is continuing on the other two buildings with completion expected in 2007.

PLOTS 11 AND 12: MIXED-USE TOWER BLOCK

The major project on these plots will be a 300m, 75-storey, mixed-use tower block with over 204,000m² of floor space. The facilities will include commercial and government offices, residential areas, retail space, leisure and health centres and a four-star hotel.

Offices will occupy the floors 4–45, while apartments are on floors 48–66. The building was designed as a two-tier skyscraper, 30 floors in the first tier and 37 in the second one. The second floor of the building will be occupied by a casino. The 47th floor will be occupied by a gymnasium.

The designers for the project are Swanke Hayden Connell Architects and the investors are Techinvest, who are investing $270 million. The contractors for the construction are Summa, a Turkish development company. Groundwork was carried out by Kaskatas. Construction on the building started in the third quarter of 2004 with completion scheduled for late 2006.

PLOT 13: FEDERATION OFFICE COMPLEX

The Federatsiya (Federation) office complex is to consist of two towers, one 57 storeys high and the other 87 storeys (345m), and a podium. The 87-storey tower will hold offices and the 57-storey tower will include residential apartments and a hotel. The total floor area of the complex will be 240,000m².

The podium will have three to five levels and 30,000m² of floor space and will contain retail areas, banking facilities, cafes, restaurants and leisure facilities. The complex will have 14 lifts built between the two towers, including four ‘Shuttle’ round-observation lifts.

Stroimontage and NIKoil Financial Group will invest more than $500 million in the project. The architects for the project are P Schweger, S Tchoban and A Asadov of Germany. Stroimontage is the general contractor for the project. Construction started in April 2004 and the complex is scheduled for completion by 2008.

PLOT 15: CITY HALL AND DUMAS

Plots 2 and 3 are owned by the Moscow City Government and original plans were for the new City Hall and Dumas (Parliament) buildings to be located there. However, these buildings will now occupy Plot 15.

The construction on Plot 15 consists of four 70-storey interconnected 308.4m buildings. The project started in November 2005 and will be finished by the end of 2007.

It is expected that all government administration will be accumulated in the new complex to provide better organisation, allowing the buildings currently in use to be sold.

The four skyscrapers will be connected by several two storey bridges between towers and eight storey bridges at the top. The highest bridges will be built in shape of letter ‘M’ for ‘Moscow’.

PLOT 16: RUSSIA TOWER

Plans for a 600m-tall tower to be built in Moscow to designs by British architect Sir Norman Foster were released in March 2006. ST Towers is the developer behind the project and is part of the ST Group.

The Russia Tower will be more than 50% higher than the Empire State Building and is to be built within the Moskva-City development on Plot 16 near the site’s border with the Third Ring Road. It will overshadow the 430m Federation Tower under construction at Moskva-City, which developers say will be the tallest building in Europe when it is completed in 2008.

The 420,000m² tower is a striking design comprising three blade-like structures arranged in a trefoil-like plan around a central core and tapering sharply toward the top, with part of the steel structure exposed on the outside like an exoskeleton.

Described by the architect as a vertical city, the tower is to house parking and retail space on nine underground levels, a public ice rink on the first floor under a spacious, pyramidal atrium, a hotel with serviced apartments above, 24 floors of office, high-end apartments on the top levels and a public observation deck at the very top. The resident population of the tower could be 25,000.

The Russia Tower is billed as an environmentally friendly project, maximizing natural ventilation and lighting, with solar cells, the collection of rainwater and snow to reduce water demand and the recycling of energy between areas with varying levels of demand. In addition, atria several floors high are to be spaced throughout the building’s central core and decorated with plants, providing the luxury apartments on the upper floors with private gardens in the sky.

The construction of the tower is expected to cost about $1.5 billion; of this about $150 million to $200 million would be supplied by ST Towers. Plans for the tower have been approved and it should be finished by about 2010. Construction has not yet started.

PLOT 17 AND 18: MULTI-PURPOSE OFFICE-HOTEL COMPLEX

The multipurpose complex will include two towers (80 and 78 floors), with a common underground space for parking. The high tower will contain office premises and the second tower will be a hotel.

The complex will also contain a roof-top restaurant with a panoramic view, cafes and bars, conference halls and billiard club. The architect is Skidmore, Owinds, and Merrill LLP. No dates have yet been announced.

PLOT 19: NORTHERN TOWERS

An office complex is being developed on this plot by ZAO Severnaya Bashnya. The Northern Towers will consist of three buildings – two 12-storey and one 29-storey. These will contain 135,000m² of floor space.

The architect is Project Institute 2 and the construction engineer is Bau Holding Strabag AG (Austria). Interior design in the building will be carried out by ABD Limited, and legal services with regard to lease documents are provided by PricewaterhouseCoopers.

The first phase of Northern Tower is scheduled for shell and core delivery by the fourth quarter of 2006. The marketing and leasing campaign has already started. Raiffeisenbank has agreed to become the first tenant of the complex.

Northern Tower will feature spectacular atriums, prime office premises and a multi-level parking for 688 cars. There will also be a multi-functional conference hall for up to 200 people, banking premises, restaurants and cafes, a fitness centre with a swimming pool operated by Reebok, a professional dental clinic and a beauty parlour.

POWER PLANT CONSTRUCTION

The power supply for the new MIBC has been a subject of much contention among foreign investors. The complex requires an efficient power distribution system operating at 20kV rather than the more typical 10kV.

CITY JSC and power supplier Mosenergo JSC put forward a proposal in 1999 to the Moscow City Government to develop a new power network for the MIBC, mini-metro, metro junction core, Eurostation and Sheremetyevo-Moscow Rapid Transit System.

The power and heat supply for the MIBC will be provided from three sources: the Mosenergo power station ‘SS-CITY-1’; the district heat and power station ‘Krasnya Prsnya’; and the MIBC power plant on Plot 7A, which entered its first phase of construction in 2002–2003 and is now well into its second phase with completion expected in 2006.

Having established the power supply sources, the next part of the project was the bulk power and distribution network to support the MIBC. Phase 1 of the MIBC power plant has seen the construction of a Gas Turbine Unit (GTU) and Heat and Power Plant (HPP) with a capacity of 50MW and a substation with two transformers for 110V from 20kV and 110V from 10kV and two 63MVA distribution units. The next phase will see an increase of capacity up to 100MW.

The developers of the power plant are CITY JSC and CITY-ENERGO Company Ltd. The contractors for the project are Liard-Stroy Ltd and the designers of the plant were Mosproekt-2 and VNIPI Energoprom.

TRANSPORTATION CONSTRUCTION

The Moscow–Sheremetyevo line is the first phase of the RTS to connect the three satellite airports to the centre of Moscow. This first line, 34.3km in length, will provide interconnectivity between the airport, regional centres and urban junctions and also interconnect with the existing municipal transport system. The project was started in 2001 and eight stations were planned. This stage is now complete.

The developer for the RTS is CITY JSC in collaboration with the City of Moscow; the designer is SNC Lavalin of Canada. The Phase 2 section of the project to extend the line to cover Vnukovo Airport was started in 2004 and is now nearing completion (scheduled to open in 2007).

The RTS development not only concerns rail links to the new commerical centre of Moscow but it is also a development in its own right. The Plot 11 development will include the construction of the new Moscow transport terminal uniting the RTS, three lines of the underground and the intercity bus terminal.

The complex will include transport stations with waiting rooms, boarding areas for VIPs, a hall of customs inspection, left-luggage offices, a 342 room hotel and ticket offices.

For this section of the development Citer Invest B.V. of the Netherlands is the developer, Behnish and Behnish Architekten of Germany are the architects. The investment is $200 million and construction is underway with an expected completion in 2007.

MINI-METRO LINE

A mini-metro line was also constructed to provide transportation within the MIBC and to connect with the historical centre of Moscow. There are three stations, one constructed in Phase 1 of the project and two in Phase 2. The three stations are Dorogomilovskaya, International and Moscow – City.

The length of the line is 5.85km. The engineering and transport contractors were Metrogiprotrans JSC. The line along with the International and Moscow – City stations came into operation in September 2005.

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Best Medicare Supplement Plan G Companies in 2024

Alex Rosenberg

Many or all of the products featured here are from our partners who compensate us. This influences which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money .

Medigap Plan G is the most comprehensive Medicare Supplement Insurance plan that all Medicare members can buy. It’s also the most popular of these plan types [0] AHIP . The State of Medicare Supplement Coverage . Accessed Feb 9, 2024. View all sources .

Plan G covers nearly all of the out-of-pocket expenses associated with Medicare Part A and Part B, such as copays, coinsurance and deductibles. (Medigap plans sold to people who became eligible for Medicare after 2019 can’t cover the Medicare Part B deductible — $240 in 2024 — so Plan G doesn’t cover that cost [0] Centers for Medicare & Medicaid Services . Compare Medigap Plan Benefits . Accessed Feb 9, 2024. View all sources .)

Since it can be difficult or impossible to change Medigap plans after the end of your Medigap open enrollment period , it’s a good idea to choose your Medigap Plan G company carefully.

Here are NerdWallet’s picks for the best Medicare Supplement Plan G companies in 2024.

Best Medicare Supplement Plan G companies

NerdWallet compares Medicare Supplement Insurance companies based on plan availability, member satisfaction, pricing, extra perks, state footprint and more.

Best overall: AARP/UnitedHealthcare

AARP/UnitedHealthcare Medigap

AARP/UnitedHealthcare

AARP/UnitedHealthcare Medigap plans have low complaint rates when compared with most competitors. There are many configurations of plan types and extras available — sometimes so many that it might be overwhelming to choose.

M-F 9am-9pm ET, Sa 10am-9pm ET

Speak to a licensed insurance agent on askchapter.org

from askchapter.org

Plan types offered Medigap plan types the company generally offers (availability may vary by location). Options include Plans A, B, C, D, F, G, K, L, M and N

A, B, C, F, G, K, L and N.

NAIC complaint rate How often the company’s members file complaints about their policies as compared to the industry average, according to data from the National Association of Insurance Commissioners (NAIC). NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.

Far fewer than expected

Premium discounts available Based on the number and size of a company’s available discounts on monthly premiums, in comparison to other insurance companies.

  • Offers as many as eight out of 10 plan types.
  • Available in every state.
  • Few customer complaints and strong third-party customer satisfaction ratings.
  • Health and wellness discounts cost extra, while some competitors offer them for free.
  • Plan variations and extras can get confusing.
  • Network requirements for lower-cost Medicare Select plans.

Service area: 50 states and Washington, D.C. [0] UnitedHealthcare . AARP Medicare Supplement Insurance Plans for Retirees . Accessed Feb 9, 2024. View all sources .

Why we like it: AARP and UnitedHealthcare make Medigap Plan G policies widely available with low prices and few member complaints. Unless you’re looking for specific side benefits or a high-deductible Plan G option, AARP/UnitedHealthcare Plan G can be hard to beat.

» MORE: Read our review of AARP/UnitedHealthcare Medicare Supplement Insurance

Best for additional coverage options: Anthem

Anthem Medigap

Anthem stands out from most other Medigap companies by offering options to add dental and vision coverage to Medigap plans. It offers only a few Medigap plan types, though, and serves fewer states than most competitors.

A, F, G and N.

Close to expected

Above average

  • Mix and match dental and vision add-ons.
  • Several discounts based on household and payment methods.
  • Extra perks for fitness, health and wellness products and services.
  • Lower-coverage plans are sometimes more expensive.
  • Few Medigap plan types available.
  • Available in only about one-third of states.

Service area: 14 states [0] Anthem . Medicare Supplement Plans (Medigap) from Anthem . Accessed Feb 9, 2024. View all sources .

Why we like it: If you want to roll dental, hearing and vision coverage into your Medigap Plan G purchase, Anthem is a strong option. The company’s Anthem Extras packages offer multiple tiers of dental, hearing and/or vision coverage that you can mix and match with most Anthem Medigap policies to fit your needs [0] Anthem . Anthem Extras Packages . Accessed Feb 9, 2024. View all sources .

» MORE: Read our review of Anthem Medicare Supplement Insurance

Best for high-deductible Medigap Plan G: Mutual of Omaha

Mutual of Omaha Medigap

Mutual of Omaha

Mutual of Omaha's household discount of up to 12% is larger than most competitors' discounts, and members file few complaints about their policies.

  • Complaint rates are well below the market average.
  • Available in every state but Massachusetts.
  • Up to a 12% discount for living with another adult.
  • Few choices for plan type.

Service area : Every state except Massachusetts, plus Washington, D.C. [0] Mutual of Omaha Corporate Communications . Email Confirmation . Accessed Feb 9, 2024. View all sources .

Why we like it: Mutual of Omaha makes high-deductible Medigap Plan G widely available, whereas many competitors offer it in fewer states. Mutual of Omaha plans get far fewer complaints than average and have reasonably competitive pricing. The pricing gets even better for applicants who qualify for a household discount of up to 12% (terms and discount levels can vary by location) [0] Mutual of Omaha . Medicare Solutions Product Portfolio . Accessed Feb 9, 2024. View all sources .

» MORE: Read our review of Mutual of Omaha Medicare Supplement Insurance

Honorable mention: Blue Cross Blue Shield

Blue Cross Blue Shield Medigap

Blue Cross Blue Shield

Blue Cross Blue Shield is a collective of 33 companies. BCBS plans are available throughout the country, but plan types, prices and performance vary.

A, B, C, D, F, G, K, L, M and N.

  • "Blue to Blue" program could mean easier changes to coverage in the future.
  • Available in all 50 states and Washington, D.C.
  • Offerings and experiences vary depending on BCBS company.
  • Higher prices for Plan N.
  • Cheaper Medicare Select plans have network requirements.

Service area: 50 states and Washington, D.C. [0] Blue Cross Blue Shield . BCBS Companies and Licensees . Accessed Feb 9, 2024. View all sources .

Why we like it: Blue Cross Blue Shield licensees offer Medigap policies everywhere in the country. Broadly speaking, BCBS companies offer competitive prices and have roughly average complaint rates — but because different BCBS companies serve different locations, pricing, perks and member experience can vary. It’s worth looking at the Blue Cross Blue Shield options in your area to see how their Plan G offerings compare to other top companies.

» MORE: Read our review of Blue Cross Blue Shield Medicare Supplement Insurance

Find the right Medicare Supplement Insurance plan

Because Medigap plans are standardized, you can get precisely the same Medicare benefits from any company offering the plan. So when you shop, keep these considerations in mind to find the best policy to fit your needs:

Is your preferred plan available? Health insurance companies don’t always sell every plan, so check who sells the plan you want to buy in your area.

What are the premiums? Prices for the same plan can vary between companies, so check to find the most competitive rates.

Will your premiums change over time? Most policies cost more as you age, but some companies offer policies that let you lock in a price when you sign up.

Are there extras? Medigap plans’ core benefits are standardized, but in certain cases, some companies include such perks as discount programs or gym memberships.

Here’s an overview of our top picks for Medigap Plan G:

Best overall: AARP/UnitedHealthcare Medicare Supplement Insurance

Best for additional coverage options: Anthem Medicare Supplement Insurance

Best for high-deductible Medigap Plan G: Mutual of Omaha Medicare Supplement Insurance

Honorable mention: Blue Cross Blue Shield Medicare Supplement Insurance

Note regarding NAIC complaint data: NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.

On a similar note...

Still deciding on the right carrier? Compare Medigap plans

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Moscow-City – The Moscow International Business Center

  • 3 years ago

The Moscow Intenational Business Center

Moscow-City is an iconic location for life and work in Russia’s capital. Enormous skyscrapers, business centers, the best restaurants and retail spaces – all this is concentrated in one place. The ultramodern Moscow-City towers are truly striking in their outward appearance, and the layout of the apartments inside and the fantastic views that can be seen from the higher floors are nothing short of impressive.

This skyscraper compound, often referred to as Moskva-City, is the Russian take on Manhattan, where businessmen strike multi-million dollar deals daily while ordinary life goes on next door. Its state of the art spaces offer the ultimate convenience. The infrastructure of this business district is so well-developed that anyone can find something interesting for themselves here: from residential apartments to boutiques, clubs, exhibitions and more.

When the foundations for the Moscow-City skyscrapers were laid, a special kind of concrete was used, the properties of which are amplified by many times compared to standard concrete. Even in the event of a plane crashing into one of the buildings, the structural integrity of the towers will be preserved.

The architects of the Moscow-City Business Center have created a unique locality that has integrated into itself the hub of the capital’s business life and a whole ensemble of historical monuments. Anyone can admire the beauty of these skyscrapers from within or without the compound. There are also a number of apartments for sale or rent available in the MIBC itself. But first, let’s have a look at some more interesting facts about the financial core of Russia’s capital.

  • 1 How It All Began
  • 2.1 Moscow-City Central Core
  • 2.2 Tower 2000
  • 2.3 Evolution Tower
  • 2.4 Imperia Tower
  • 2.5 Moscow Tower and St. Petersburg Tower
  • 2.6 Steel Peak Tower
  • 2.7 Federation Tower
  • 2.8 Mercury City Tower
  • 2.9 OKO Tower Complex
  • 3.1 Afimall City Shopping Center
  • 3.2 Bagration Bridge
  • 3.3 Expocentre Fairgrounds
  • 4 Renting and Buying Real Estate in Moscow-City

How It All Began

The history of Moscow-City goes all the way back to 1992. The government of Moscow at the time wanted to bring into existence its own skyscrapers like the ones in London or New York. And the idea caught on. In 1992 the project for the construction of the huge “Moscow-City” MIBC compound was enthusiastically approved, kick-starting the painstaking preparatory works. The original intention was that the skyscrapers would only house office space. However, as time went on, the towers began to welcome in ordinary residents who wanted to live on the territory of this business and finance hub.

Moscow-City is undoubtedly a city within a city. Its grandeur is mind-boggling. It is perfect in every way: from location to infrastructure. And today, anyone can get a feel of the atmosphere of the “capital city” of Russia’s business world – many of the apartments in Moscow-City are available for rent. Any citizen of Russia and even nationals of other countries can make use of these offers.

What It’s Like in 2021

Today Moscow-City is not just a magnificent and fascinating sight, but also a real hub for the work, life and leisure of thousands. Its infrastructure is organized in such a way that there is no need to leave the territory of the “city within a city” at all. This business district contains everything one may need for work and recreation. And if one does decide to venture out into the larger metropolis, the MIBC’s three subway stations make this remarkably simple to do.

Moscow-City stands on the Presnenskaya Embankment . Each of the buildings in the district has a name, which simplifies its identification. Some of the buildings form complexes that are united under one name, such as the Neva Towers and the Naberezhnaya Tower complex of two skyscrapers and one high rise. There are a total of 16 towers in the MIBC, of which the most popular are:

  • Moscow-City Central Core;
  • Tower 2000;
  • Evolution Tower;
  • Imperia Tower;
  • City of Capitals (Moscow Tower and St. Petersburg Tower);
  • Steel Peak Tower;
  • Federation Tower;
  • Mercury City Tower;
  • OKO Tower Complex.

Moscow-City Central Core

This is the most complex building within the MIBC compound. Its total floor area is a whopping 1 476 378 sqft (450 000 m²). It consists of two massive parts, each of which boasts a truly impressive infrastructure. The underground part includes 3 Moscow Metro stations, a parking lot for automobiles and a shopping mall. The aboveground part houses a concert hall and a hotel.

Tower 2000 is a skyscraper having 34 stories. Its total floor area is 200 318 sqft (61 057 m²), most of which is office space. The key feature of this skyscraper is its direct connection to the Bagration Bridge, which has its own shopping arcade. The tower has everything one may need while working here, including a large parking lot and several restaurants.

Evolution Tower

This elegant structure is 836 feet (255 m) high – that’s a whole 54 stories! The total floor area here is 554 462 sqft (169 000 m²). The Evolution Tower’s key feature is that it has its own Wedding Hall. This skyscraper houses large office spaces, a parking lot and several restaurants.

Imperia Tower

MIBC’s Imperia Tower is the undeniable focal point of the MIBC’s business life. Its height is 784 feet (239 m), which means one can hold conferences and resolve key business matters on the 59 th floor! And that really is amazing! The tower has everything: offices, hotels, restaurants and parking lots. But if you want a truly unforgettable experience, visit the viewing platform! It is situated on the 58 th floor and a simply astounding view of Moscow can be seen from it.

Moscow Tower and St. Petersburg Tower

The Moscow and St. Petersburg Towers are the chief representatives of the MIBC. The Moscow Tower has 76 stories and is 990 feet (302 m) high, while the St. Petersburg Tower has 65 stories and stands 843 feet (257 m) tall. Both towers offer fantastic views of the capital city.

Most of the floors of these two skyscrapers are taken up by luxurious sky apartments. There are also several recreational and entertainment centers, office spaces, restaurants, etc.

Steel Peak Tower

Also known as the Eurasia Tower of Moscow-City, this supertall skyscraper has a total of 680 912 sqft (207 542 m²) of floor space. Most of this is taken up by offices, and the rest – by residential quarters (around 65 616 sqft or 20 000 m²). The tower also houses a number of the greatest restaurants, studios and shopping centers.

Federation Tower

The Federation Tower is a complex of two skyscrapers, known as Tower East and Tower West. Tower East is the second highest building in Europe (the first is a skyscraper recently erected in the city of St. Petersburg). Its height is a colossal 1 223 feet (373 m) and that makes 95 stories! Tower West, on the other hand, is noticeably shorter at 794 feet (242 m).

The Federation Tower is a multifunctional complex.

Mercury City Tower

The Mercury City Tower skyscraper is widely known as one of the tallest buildings in Europe. Its height is 1 112 feet (339 m) and it has 75 stories. It is multifunctional by concept, holding within its walls shopping centers, offices and all kinds of other spaces. It is also possible to rent apartments here.

OKO Tower Complex

The OKO Tower Complex consists of two towers – the North Tower (49 stories and 803 ft or 245 m in height) and the South Tower (85 stories and 1 155 ft or 352 m in height).

Each of the MIBC’s tower complexes has its own recreational and entertainment areas, restaurants and parking lots. The top floors of most of these buildings contain luxurious fully-furnished apartments. At night, the towers shine with bright lights, while inside them the panoramic windows reveal astounding views of Moscow. This breathtaking view of the capital of Russia is why visiting Moscow-City is a must!

What Not to Miss

There are many interesting landmarks within the Moscow-City compound, but three of them are truly deserving of special attention:

  • The Afimall City Shopping Center;
  • The Bagration Bridge with two galleries and a shopping arcade;
  • The Expocentre Fairgrounds.

Afimall City Shopping Center

The Afimall City Shopping and Entertainment Center is located in Moscow-City’s Central Core. It is divided into 4 zones, each with its own theme – one for every season of the year. The shopping center houses the biggest indoor fountain found worldwide. The height of this watery wonder is 118 feet or 36 meters.

The shopping and entertainment center contains everything one might expect from one of the largest centers of its kind:

  • Retail brand stores;
  • Exhibitions;
  • Game rooms;
  • and Restaurants.

The main recreational space is roofed with a giant transparent dome, which is an impressive sight to behold.

Bagration Bridge

Bagration Bridge with its upper and lower galleries has a shopping center all of its own and was the first structure to be built as part of the Moscow-City business district. Its lower gallery is a shopping arcade and its upper gallery is an open-air viewing platform with a spectacular view of the MIBC and the Moskva River. The hall of the bridge houses the 23 foot tall sculpture called “Tree of Life”. Having gone through the bridge via either one of its two galleries, a pedestrian would find themselves standing right on the Kutuzovsky Prospekt.

Expocentre Fairgrounds

The Expocentre Fairgrounds exhibition venue is located at the very heart of the capital. The first exhibition held at the Expocentre happened all the way back in 1959, much earlier than the MIBC was erected. Today it is the venue of many interesting events.

Exhibitions with very diverse themes are regularly held at this complex. An up-to-date schedule can be found on the official webpage of the Expocentre. The events can be free or fixed-price entry, depending on their type.

Renting and Buying Real Estate in Moscow-City

Moscow-City is not only a work and business hub, but also a residential neighborhood. Any citizen of Russia can rent or buy apartments or elite sky lounges here. The variety of residential real estate available inside the skyscrapers is impressive, including options for any pocket. The following buildings in the MIBC contain residential blocks:

This skyscraper has a mirror glass façade which reflects the passing clouds. Just imagine how beautiful that looks! Anyone can buy an apartment in the Federation Tower. Such properties are not only a good investment, but also a mark of prestige. The average price of residential real estate here is 45 million rubles for an apartment with a total floor area of 334 sqft (102 m²). The average price of a square meter (3.28 square feet) is in the range of 650 to 700 thousand rubles. There are two- and three-room apartments available in the Federation Tower, each with its own loggia. As for rent, the minimum price of one month’s stay in a three-room apartment in this skyscraper is 300 000 rubles per month.

The Mercury City Tower skyscraper welcomes citizens from all parts of Russia. This building is no less tall than the world-famous Dubai skyscrapers. Living in its apartments is a delight. The minimum cost of an apartment in the Mercury City Tower is 75 million rubles. The average price of a square meter (3.28 square feet) is 800 thousand rubles. And for those looking for a lower price point, some of the properties are also available for rent – in this case you will pay a minimum of 250 thousand rubles per month.

The Imperia Tower is a key cluster of interesting offers. The best options for buying and renting apartments within the MIBC can all be found in this skyscraper. The lowest price of a residential apartment here is 40 million rubles. A square meter (3.28 square feet) in a luxurious apartment in the Imperia Tower currently costs 600 thousand rubles, while the price range of the listings available for rent in this skyscraper is from 350 thousand all the way up to 1 million rubles per month.

This complex, standing on a faceted or “crystal” base, is an architectural engineering project boasting spectacular design. Behind its impressive façades is an abundance of penthouses and apartments having floor areas in the range of 262 sqft (80 m²) to 984 sqft (300 m²). The minimum price of an apartment in the OKO Tower Complex is 40 million rubles (the price of a square meter (3.28 square feet) is 500 thousand rubles). You can rent an apartment here starting from 400 thousand rubles per month.

City of Capitals

The City of Capitals is an exemplary architectural complex. Its sum appearance gives the impression of a huge city. Inside its walls are spacious apartments available for purchase and rent. This complex is considered to be especially prestigious. The prices of apartments here start from 50 million rubles, while the minimum cost of renting is 400 thousand rubles per month.

Please note! The price of real estate available for purchase or rent depends on: the tower, the floor, the total floor area, the furnishings and/or interior design, and other factors.

The key advantages of buying/purchasing real estate in Moscow-City are:

  • Favorable location;
  • Convenient transportation links;
  • Well-developed infrastructure;
  • High safety level;
  • Efficient architecture;
  • Panoramic windows.

Buying real estate in Moscow-City is very much a rational decision, most appealing to those who value the ultimate level of comfort. The residential apartments here boast impressive interior design solutions executed in the contemporary style.

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